The housing market enjoyed a buoyant 2020 with the number of prospective buyers at the highest level for a decade, according to data from NAEA Propertymark. 

But while demand soared the number of properties available to buy has not changed year-on-year, fuelling price increases. 

NAEA Propertymark figures show that over 2020 there was an average of 403 house buyers registered per estate agency branch. This compares to an average of just 320 throughout 2019, and a previous decade high of 379 in 2015. 

This is an increase of 55 per cent on the figures recorded in 2010, when there were just 260 buyers per branch.

In contrast the NAEA Propertymark figures show there were an average of 39 properties available to buy per branch, a figure that has remained consistent since 2018. 

Supply has dropped considerably over the past decade, from an average of 63 per branch in 2010.

In their overview NAEA Propertymark said the number of sales agreed per branch throughout the year hit a decade high of 10 sales on average per month in 2020. Historically though this figure has stayed fairly consistent, only moving between seven and nine between 2010 and 2019.

The average proportion of total sales made to first-time buyers decreased by two percentage points in 2020, from 27 per cent in 2019 to 25 per cent. Again this figure that has remained consistent over the past decade, with an average of 25 per cent of sales going to FTBs.

In the private rented sector figures from ARLA Propertymark show that the supply of rental accommodation was the highest on record in 2020, with 203 properties managed on average per branch throughout the year. This compares to 199 properties in 2019. 

Agents also reported a record number of tenants searching for homes. Across the year there were 86 per branch, topping the record figure of 69 seen in 2019. During 2020 the highest number of prospective tenants searching for homes was in August with a record figure of 101 recorded per branch.

The figures show that as landlords continued to feel the pinch, the number of buy-to-let investors selling property remained high, at an average of four per month in 2020.

The data also shows there was a decline in the number of tenants seeing rent increases. This has fallen to 36 per cent this year, from an average of 44 per cent in 2019.  ARLA Propertymark said this was due to Covid-19 rent struggles.

Propertymark chief policy advisor Mark Hayward says: “Both the sales and rental markets have remained remarkably resilient throughout this trying year, despite market closure between March and May. 

“The prioritisation by the government of a functioning property market and subsequent implementation of the stamp duty holiday as well as measures taken to keep the rent flowing within the private rental sector, have allowed for record breaking levels of house sales and rental accommodation.”

He says he is confident the boom will continue through the new year but expressed concerns about the impact of the stamp duty cliff edge on 31 March 2021. 

“This cliff edge has already increased pressure on service providers within the industry, causing delays for buyers and sellers, and could cause thousands of sales to fall through at the final hurdle as buyers realise their sale will not be completed ahead of the deadline.”