Prime country house prices in England rose by 1.1% in the second quarter of 2014, taking the annual increase in prices to 5.2% over the year to June, the latest index shows.

In means that prime country house prices have now increased for six quarters in a row and are up 5.2% year on year, according to the index from Knight Frank.

The firm pointed out that although still playing catch-up with the prime market in London, where prices increased by 7.8% over the year to May, this is the strongest rate of annual growth in the prime country market in four years.

Sales are also increasing with the volume of prime country sales completed in the second quarter some 11% higher than the corresponding period last year. This was driven primarily by the sub £2 million market which accounted for 80% of Knight Frank sales over the three months to June.

The index reports says that the higher volume of sub £2 million sales has contributed to stronger price rises for homes valued below this threshold. While average values of sub-£2 million prime properties rose by 1.3% between April and June, growth in value for houses worth over £2 million was 0.6%.

In the super prime market, that is homes worth over £5 million, values actually fell by 2.3% over the course of the quarter, although they remain 1.2% higher on an annual basis.

While there are indications that buyers have started to factor the higher 7% stamp duty charge for £2 million plus properties into decisions, fresh uncertainty surrounding the possible introduction and form of a mansion tax has contributed to lower price growth for homes worth £2 million and more.

On a regional basis, the Home Counties and South West markets have continued to benefit most from the London ripple effect, with house price growth spreading outwards from central London.

Additionally, these markets are being boosted by the return of London buyers. This is reflected in country hotspots, many of which are close or within commuting distance of the Capital. Prices of prime property in Winchester and Cobham rose by 2.6% in the second quarter, while prices in Virginia Water were 2.5% higher and in Oxford values climbed by 1.8%.

Looking to the future, there are signs momentum may be slowing slightly. While the number of property viewings was fairly steady during the three months to June compared to the same period last year, the number of prospective buyers registering their interest in buying a prime country home fell by 2%, the report also says.

‘After little or no price growth for a couple of years, the increased activity in the country market is slowly filtering through to price growth,’ said Rupert Sweeting, head of Knight Frank Country.

He explained that there are areas that are more active than others with counties like Hampshire seeing a significant increase in sales reflecting renewed confidence from London buyers.

‘The ripples have not reached the far flung…

Property prices in Dublin are 22% higher than a year ago and are now growing at a faster rate than at any time since the height of the housing boom, according to the latest figures from the Central Statistics Office.

Meanwhile price across the country are up year on year to the end of May by 10.6%, higher than the annual 8.5% increase recorded in May, suggesting that the property market recovery is growing outside of the capital city. This compares to a fall of 1.1% recorded in the 12 months to the end of May 2013.

In Dublin prices were up 4.2% month on month. The price of residential properties in the rest of Ireland rose by 0.6% in May compared with an increase of 0.1% in May of last year. Prices were 1.8% higher than in May 2013.

In Dublin apartment prices were 19.5% higher in May when compared with the same month of 2013 but the CSO said that it should be noted that the sub-indices for apartments are based on low volumes of observed transactions and consequently suffer from greater volatility than other series.

House prices in Dublin are 44.4% lower than at their highest level in early 2007. Apartments in Dublin are 53.4% lower than they were in February 2007. But overall prices in Dublin are still 46.3% lower than at their highest level in February 2007.

The price of properties in the rest of Ireland is 47% lower than their highest level in September 2007 and overall, the national index is 45.1% lower than its highest level in 2007.

Experts do not believe there is a risk of a housing bubble. Conall Mac Coile, chief economist at Davy Stockbrokers pointed out that there is a low number of transactions and a low volume of building starts.

But he added that specific measures to boost sustainable housing starts are needed. Few houses are being built because many building firms were damaged or went out of business during the financial crisis.

Also, existing home owners are currently unwilling to sell. High levels of home loan debt, a legacy of the property bust, mean many households cannot contemplate selling for some time, analysts say.

US, Chinese and Russian buyers were among the most active foreign buyers in Spain in the first quarter of 2014, according to new data from the General Council of Notaries in Spain.

The number of Spanish properties bought by these nationalities increased by 88.9%, 83.1% and 62.6% respectively in the first quarter compared to the same period a year earlier.

Foreign buyers accounted for 19.4% of all Spanish property sales in the first quarter of 2014 and non-residents accounted for 47.9% of these.

The regions seeing the strongest rise in foreign buyers include The Basque Country with an increase of 43.3%, Catalonia up 41.1%), the Balearic Islands up 36.4%, Asturias up 34.8%, Andalucia up 32.5% and the Canary Islands up 23.8%. The number of purchases by foreign buyers in Madrid has also jumped significantly, up by 42.5% year on year.

Foreign property purchases are increasing with British buyers now accounting for 13.8% of all foreign purchases, French buyers account for 10.5%, Russians 8.4%, Germans 7.5% and Belgians 6.9%.

The average price of a property purchased by a foreign buyer continues to fall and currently stands at €1,486 per square meter, a fall of 3.8% year on year.

According to Kate Everett-Allen, head of international residential research at real estate firm Knight Frank, the growing presence of US, Russian and Chinese buyers is a sign that the Golden Investment Visa initiative, introduced in September 2013 may be starting to have an effect.

The scheme, designed to attract non-European Union investors by offering a two year residency permit in return for a €500,000 investment in real estate has already been effective in Portugal but until now there has been little evidence to judge its impact in Spain.

The Notaires report also shows which nationalities pay the most for their Spanish homes. Norway and Sweden came out on top in the first quarter of 2014, paying on average €1,935 per square meter €1,732 per square meter respectively.

Irish buyers paid more than British buyers, although both were around the middle. Romanian and Moroccan buyers paid the least, averaging €800 per square meter and €795 per square meter respectively.

Slow, steady prime house price growth is now fanning out from London with regional markets recording annual price growth for a fourth successive quarter, according to latest analysis from international real estate adviser, Savills.

The UK prime market average rose by 5.7% in the year to the end of June and 3.1% in the first six months of 2014, the Savills prime regional index shows.

Though less than the growth seen in the first quarter, second quarter growth averaged 1.1%, in line with prime London where the rate of price rises has slowed and suggesting that the gap between the two markets may have peaked.

The strongest growth continues to be seen closer to the capital reflecting a displacement of London housing wealth into commuter markets. The prime suburbs have outperformed the capital for the first time since the credit crunch, recording growth of 5.7% in the first six months of 2014, compared to the prime London average of 4.9%.

‘There is now clear evidence that the recovery is taking hold across the UK more widely, with a return to former 2007 peak values still a useful benchmark of that recovery,’ said Lucian Cook, Savills UK head of residential research.

Across the Savills prime regional index values remain on average 5.6% below their former peak, while the outer commuter zone, a ring of up to one hour’s travel distance from the capital, saw a return to peak in the second quarter. However, beyond the commuter zone, prices remain some way below their 2007 peak, despite annual price growth

At the extreme, in Scotland, where the forthcoming independence referendum is causing some uncertainty, particularly amongst buyers from outside Scotland who are key to a full recovery in the high value markets, prices are 21.9% below peak.

The market above £2 million remains more fragile, with the price threshold that resulted from stamp duty increases remaining entrenched. This is evidenced in the prime country house market which recorded quarterly growth of just 0.1%.

‘The recovery in this high value marketplace is hard to generalise, since every property and location is unique. Some properties are selling rapidly, with competition, while others require price adjustments to sell as fragile buyer sentiment remains susceptible to the changing news agenda, in particular the renewed spectre of a mansion tax,’ explained Cook.

The analysis also reflects the fact that buyers continue to favour urban locations. Prime properties in regional cities saw growth of 1.7 % in the three months to the end of June, with annual growth totalling 8.1%.

This compares to quarterly growth of 0.9% for village properties and 0.5% for prime properties in rural locations, and annual growth of 5.3% and 3.3% respectively. Prime cities are now on average just 1.7% below peak, compared to prime rural properties which are 13.5% below.

‘The prime market is responding to…

Over half of all mortgaged residential property in the UK is not covered by any form of protection insurance, it has been revealed.

Nearly 60% of people would rely on savings to cover mortgage repayments if they couldn’t work despite most having £10,000 or less, according to research from life and pensions provider Friends Life.

London has the lowest take up of protection insurance with more than 775,000 homes at risk but overall some six million homes in the UK could be at risk.

The firm says that it highlights the financial tightrope many people are walking when it comes to their largest investment.

‘To find that six million homes are at risk because the owners have no financial safety net protecting them is almost unbelievable. Buying a house is the biggest investment most people will ever make and it’s hard to comprehend why people wouldn’t want to safeguard that,’ said Steve Payne, managing director of UK Protection at Friends Life.

‘It has never been more important for people to be getting advice about protection insurance. Property prices are continuing to rise so a home as an investment is getting more valuable, another reason why protecting it is so important,’ he added.

Home ownership can be protected by life insurance, critical illness cover or income protection. Then should the worst happen and a property owner dies or becomes ill and is unable to work, the pay out from their insurer could be used to cover the cost of their mortgage.

Life insurance continues to be the most popular form of protection. However, only 38% of mortgage payers hold a policy, and take up falls even further for critical illness cover at 14% and income protection at 7%.

Londoners are most at risk with those owning property in the capital least likely to have any kind of protection insurance, despite property prices being the highest in the UK. The survey showed that just 34% have any form of protection insurance, lower than anywhere else in the country. It means owners of more than 775,000 homes in London are unprotected.

‘With the average house price in London now over £450,000, property in the capital is a huge investment. That figure is likely to rise further, yet Londoners do least to protect their greatest asset,’ said Payne.

Residents in Northern Ireland, on the other hand, were more financially savvy with nearly double having some form of life insurance, critical illness cover or income protection.

The average cost of renting a home in the UK continues to rise, but in most parts of the country, there are sufficient numbers of tenants with higher incomes to sustain the increases.

The latest data from the May 2014 HomeLet Rental Index shows that the average tenant signing a rental agreement in May 2014 had an income 7.2% higher than the average tenant a year previously.

The index, the largest survey of private tenants in the UK, shows that the incomes of tenants taking on new properties have risen faster than rents in nine of the 12 UK regions covered with the average rent in the UK now standing at £846 a month, or £687 a month outside of Greater London.

The exceptions were Yorkshire and Humber, Northern Ireland and Greater London, though in the capital the average income increase over the past year of new tenants has lagged the average increase in rental cost by just 0.6%.

The effect is that across the UK as a whole, excluding London, rents rose by 2.5% but even with the highly distorting effect of London reinstated in the data, the average rent increase came in only marginally ahead of the average rise in incomes of tenants signing new rental agreements.

East Anglian tenants have faced the largest increase in average rents over the past 12 months. Demand for property in this region, with its proximity and strong transport links to London, may have been increased by a spill over of demand from the capital.

In Greater London, rents were on average £116 higher per month in May 2014 at £1,348, when compared to May 2013 when the figure was £1,232. Just as London’s house prices are rising far more quickly than in the rest of the UK, so too is its rental sector.

According to the index report the figures will reassure buy to let landlords amid some concerns that rent rises would price many would be tenants out of the market as there appears to be a steady supply of new tenants with higher incomes.

The Office for National Statistics says average incomes are currently rising by 1.7% a year in the UK. However, new tenants coming into the market, possibly in the face of higher house prices and tight mortgage finance, have the incomes required to pay higher rents.

‘The rental market is in robust shape. While rents are rising, there is not a shortage of tenants who are able to pay, and the return for investors in rental property looks secure,’ said Martin Totty, chief executive officer of Barbon Insurance, the group that owns HomeLet.

‘This is good news for tenants and landlords alike. We expect demand for rented accommodation to continue to rise, while investors will no doubt be attracted to the returns on offer in the sector if they are confident in tenants’ ability to pay,’ he added.

Home prices in the United States increased by 8.8% year on year in May and are expected to rise 6% in the next 12 months, according to the latest index data from property analysis firm CoreLogic.

Prices have now increased year on year for 27 months in a row. The data also shows that month on month prices were up 1.4% in May compared with April.

No states saw prices fall in May 2014 and 25 states and the District of Columbia were at or within 10% of their peak home price appreciation.

New highs were recorded in Alaska, Louisiana, Oklahoma, Nebraska, Iowa, South Dakota, North Dakota, Colorado, Texas and New York. The strongest year on year appreciation was in the West, led by Hawaii, California and Nevada.

Excluding distressed sales, home prices nationally increased 8.1% in May 2014 compared to May 2013 and 1.2% month on month compared to April 2014. Also excluding distressed sales, all 50 states and the District of Columbia showed year on year home price appreciation in May. Distressed sales include short sales and real estate owned (REO) transactions.

The CoreLogic HPI Forecast indicates that home prices, including distressed sales, are projected to increase 0.8% month on month from May 2014 to June 2014 and 6% year on year.

Excluding distressed sales, home prices are expected to rise 0.7% month on month from May 2014 to June 2014 and by 5.1% year on year.

The CoreLogic HPI Forecast is a monthly projection of home prices built on the CoreLogic HPI and other economic variables. Values are derived from state level forecasts by weighting indices according to the number of owner occupied households for each state.

‘The pace of home price appreciation is cooling off quickly as the weather warms up. May's 8.8% year on year growth rate is down almost 3% from just three months ago,’ said Mark Fleming, chief economist for CoreLogic.

‘The influences of modestly rising inventory and less than expected demand are causing price growth to moderate toward our forecasted expectations,’ he added.

The fact that home prices are continuing to climb across most of the country has both positive and negative implications for the housing market, according to Anand Nallathambi, president and chief executive officer of CoreLogic.

‘While the rapid rise in prices over the past two years has lifted many home owners out of negative equity, it has also become a negative factor in buying decisions for prospective purchasers weighing affordability concerns. As we move ahead, a moderation in home price increases over the next 12 months should help cool things down a bit and keep the housing recovery going,’ he explained.

Home affordability across New Zealand has deteriorated by 7.6% over the past year, according to a new analysis.

The news for would be home owners is not good, according to the report from Massey University’s Real Estate Analysis Unit which covers the quarter from March to May 2014.

According to the report’s author Professor Bob Hargreaves the overall decrease in affordability is no surprise because the average annual wage increase of $34.53 was not enough to offset a $38,000 increase in the national median house price and an increase in the average mortgage interest rate from 5.57% to 5.64%.

He warned that this deterioration in affordability is likely to continue as recent interest rate increases are incorporated into the debt servicing costs for home mortgages.

On a quarterly basis, the national affordability index deteriorated by 4.5% compared with a 2.8% improvement in the previous quarter.

Auckland was, unsurprisingly, the least affordable region followed by Central Otago/Lakes and Canterbury. Southland retained its place as the country’s most affordable region, followed by Manawatu/Wanganui and Taranaki.

Professor Hargreaves pointed out that one of the most striking trends is the growing gap in affordability between larger urban centres and provincial towns, caused mainly by the differences in house prices between regions.

On a regional basis annual changes in affordability showed five regions with improved affordability. In Southland it improved by 14.4%, in Taranaki by 8.4%, in Manawatu/Wanganui by 6.2%, in Nelson by 2.2% and in Otago by 0.8%.

A deterioration in annual affordability was evident in seven regions. In Central Otago/Lakes it fell by 12.2%, in Canterbury by 10.6%, in Auckland by 9.1%, in Waikato by 4.8%, in Northland by 3.5%, in Wellington by 3.4% and in Hawkes Bay by 0.7%.

On a quarterly basis the all districts national affordability index deteriorated by 4.5% compared with 2.8% improvement in the previous quarter.

Auckland at 138% of the all districts national index was the least affordable region followed by Central Otago/ Lakes at 133.9% and Canterbury at 100.6%.

Southland retained its place as the most affordable region with an index of 42.5% of the national average. Manawatu/Wanganui at 55.2% was in second place followed by Taranaki at 56.7% in third.

The report says that there appears to be an ongoing trend where the affordability gap is widening between the larger urban centres and the provincial urban centres. Hargreaves said that this is mainly a function of differential house prices between regions.

Property prices in Edinburgh increased by 1% in the second quarter of the year, taking the annual price rise in the city to 5.7%.

This follows a rise of 1.3% in the first quarter of the year, according to data from the latest Edinburgh City Index from property firm Knight Frank.

It means that after 18 months of static pricing, values have now been growing for four consecutive quarters, the longest period of sustained growth recorded by the index and an indication that the market is recovering well since its low point following the financial crisis.

Over the three months to June, homes in the north of the city and the area around the New Town and West End areas enjoyed the greatest growth, with prices increasing in value by 1.5% and 1.2% respectively.

Stock levels increased over the course of the quarter, albeit from a very low base, but Knight Frank says it is an indication that some vendors, who have been waiting on the sidelines, are deciding to enter the market.

The increase in available stock helped contribute to a 31% increase in sales in the second quarter of 2014, compared to the same three month period last year.

‘An increase in the number of homes available for sale is good news for potential buyers, who have a greater degree of choice when it comes to finding a new home,’ said Edward Douglas-Home, head of Edinburgh City Sales.

‘While the bulk of sales so far this year have been concentrated in the sub £1 million price band, we have completed a number of deals above this level for townhouses in the city centre,’ he explained.

‘However, while stock levels have increased and the number of sales has risen, there are indications that some buyers are waiting until after the result of the referendum on Scottish independence is known before considering a purchase,’ he added.

He also pointed out that one factor that tends to unsettle the housing market is periods of uncertainty, as individuals defer making long term decisions until the direction of policy is clearer.

The number of prospective purchasers registering their interest in purchasing a home in the three months to June 2014 was 32% lower than the same period last year, while the number of viewings conducted was also down, by 18% over the same period. This suggests that the rate of growth in sales volumes could start to slow in the run-up to the referendum in September.

Edinburgh accounted for more than half of all £1 million plus sales in Scotland in the first three months of 2014, according to data provided by the Registers of Scotland. The city is the traditional hub of the prime market in Scotland and over the last 12 months has accounted for 55% of all £1 million plus transactions.

Interest is particularly strong for homes in the New Town and West End area of the city. However, a closer look at our data suggests that buyers of £1 million…

Rising property prices in the UK are causing an about turn in rental yields but more complex buy to let properties are still commanding considerably higher yields, new data shows.

According to the latest Mortgages for Business Complex Buy to Let Index gross yields on vanilla buy to let properties have dropped to 6.3% in the second quarter of the year, down from 6.4% in the first three months of 2014.

This comes as modest rent rises have been outstripped by rapid growth in property values. But houses in multiple occupation (HMOs) saw gross yields of 9.3% in the second quarter of 2014. While this is also down slightly from the 9.6% recorded in the first quarter, the gross yield remains around 50% higher than for vanilla properties.

Multi-unit freehold blocks (MUFBs) also offer a premium compared to standard buy to let investments, the data shows. In the second quarter these properties commanded an average gross yield of 7.3%, almost a full percentage point higher than vanilla yields.

The index shows that landlords with standard buy to let properties have remortgaged at a record rate in the second quarter. Remortgaging now represents 70% of new vanilla buy to let mortgages. This compares to 65% in the first quarter of 2014.

By contrast, new purchases make up an increasing proportion of activity for more complex properties, as landlords increase their exposure to a wider variety of property types. In the second quarter of 2014 some 31% mortgages for multi-units were for new purchases, up from 19% in the first quarter. Meanwhile, 28% of loans secured against HMOs are now for new purchases, compared to 25% in the first quarter of the year.

This comes as the choice of buy to let mortgages has reached a record high, with an average of 637 different products available to UK landlords in the second quarter of 2014. Compared to the previous quarter, when landlords had a choice of around 586 mortgages, this represents growth of 8.7%. On an annual basis this leaves the number of buy to let mortgage products 37% greater than in the second quarter of 2013.

As prices have risen, loan to value ratios have dipped. The average LTV on a vanilla buy to let mortgage in the second quarter was 67%, down from 69% in the previous quarter. Loan to value ratios for HMOs have also fallen, now standing at 70% compared to 72% in the first quarter, while loan ratios for MUFBs are steady at 66%.

‘Within the space of six months the UK property market has seen a rising tide of optimism translate into steadily rising property prices. But with the ying of capital appreciation, landlords are also facing the yang of a dip in rental yields as rent rises have not kept up with increases in purchase prices,’ said David Whittaker, managing director of Mortgages for Business.

‘Landlords are now looking more carefully at their portfolios and their financial situation. With signs that price rises may start…

Overseas investors buying property in London to let out rather than live in only account for an estimated 7% of all greater London residential transactions, new research shows.

Reported high rates of overseas buying are due to high investor activity in the prominent new build sector which accounts for less than 10% of all London transactions,’ according to the report from international real estate adviser Savills.

It says that it is due to London’s cosmopolitan nature, which results in a high proportion of foreign residents and a large number of foreign buyers in the city’s housing markets.

Savills also says that the while in the most reported, prime, second hand markets, international buyers account for 32% of all sales, just like domestic buyers some 88% are buying a home in which to live.

The report points out that the appeal of London’s residential property to international buyers, whether investors or end users, is a reflection of their widespread interest in other types of investment too.

Over the past four decades, London has been promoted from national capital to premier league global city, becoming one of the world’s most successful cities on a range of economic, cultural and social measures and a destination of choice for residential investment, it adds.

Inward migration and natural population growth boosted London’s population from 7.3 million to 8.2 million between 2001 and the 2011 census, with expectations that it will rise by a further million by 2021, the fastest rate of growth ever.

In the report Savills says that rising house prices are an inevitable consequence of rising levels of affluence and high levels of competition for a limited supply of homes. The shortage of homes, rising house prices and consequent exclusion from the market of many aspiring home owners are all highly contentious issues, but it is wrong to hold an influx of buyers from overseas responsible it adds.

International buyers account for a larger share of the central London, prime and new build markets. The report suggests that figures from these specialised markets have often been erroneously applied to the whole market.

The firm’s analysis suggests that international buyers have accounted for around a third, 32%, of the prime London market which accounts for the most expensive 8% of London sales over the past 18 months.

‘Even in these prime markets, domestic buyers outnumber international buyers by over a wide margin,’ said Yolande Barnes, Savills world research director.

‘Our analysis demonstrates quite clearly that these are not buy to leave owners as popular myth suggests and the majority are resident buyers, especially in the second hand market,’ she added.

While most international buyers are buying a main residence, the remainder are almost evenly split between those buying second homes for themselves of their family to use, for example when on business or studying in London, and those who are investing for rental income.

The split for 2013/2014 shows that 68% are UK buyers, 20% are international buying a…

People in the UK who want to build their own home will be able to turn to their council to make their dream a reality under new measures announced by planning minister Nick Boles

He announced new rights for aspiring self and custom builders which would enable them to ask their council to identify a shovel ready site for their project.

Prospective self and custom builders will be able to register their interest with the local council, who will then be required to offer suitable serviced plots for sale at market value.

Boles said that house building is a key part of the government’s long term economic plan with custom builders poised to play a key role in that.

Research by Ipsos MORI has shown that there are over one million people who are looking to build their own home but the biggest barrier to doing so is finding a suitable plot of land to build on.

It means self build currently accounts for just one in 10 new homes in the UK compared to 60% in Germany, France and Italy and 80% in Austria.

Boles invited councils from across the country to come forward to become vanguard authorities, to get the Right to Build up and running in their area and said that the lessons learned by these areas will then form a crucial part of a consultation later this year, on extending the Right to Build across the country.

‘I believe that government should help anyone who wants to build their own home to find a plot of land to build on. That’s why we want to give people a Right to Build so anyone looking for a shovel ready plot can turn to their local council and expect them to suggest some suitable sites,’ said Boles.

‘Building your own home, with or without the help of a local architect and builder, can be much cheaper than buying a new home and offers people the change to design a place that works for them and their family. Becoming a Right to Build vanguard offers councils a way to help local people get a place to live which is designed and built locally,’ he explained.

The Right to Build is one of a range of measures the government has introduced to help aspiring custom builders. Others include a £150 million investment fund for 10,000 serviced plots that will be shovel ready sites where a developer can be hired to build a home and a prospectus published last week to help developers and community groups apply for funding to prepare the sites.

Boles has previously announced that custom builders will be exempt from paying the community infrastructure levy and introduced a new £30 million Custom Build Homes Fund, which makes available repayable finance for larger multi-unit projects and grant funding for community self builders.

Current planning guidance makes it clear that councils should help custom builders and establish demand in their area.

After plunging throughout 2012 and for much of 2013, and rising only modestly through the beginning of this year, the number of new homes coming onto the market in the US surged in May.

The latest data from real estate firm Zillow shows that inventory of all for sale homes nationwide jumping 11.8% year on year with most gains among homes priced in the middle and top one third of home values.

The number of homes available for sale in the most affordable price bracket, those homes most sought by first time buyers, fell year on year in 28 of the nation's largest metro areas analysed by Zillow.

The total number of homes listed for sale on Zillow in May was up 4.3% month on month and has risen monthly in each of the past three months on a seasonally adjusted basis.

Overall inventory of for sale homes was up year in 78% of the more than 600 metro areas analysed. Large metros where inventory has increased the most include Las Vegas up 51.5% year on year, Washington, DC up 45.7% and Riverside, California up 42.7%.

‘It's good to see overall inventory rising. It's likely that many would be sellers have decided to capitalize on recent home value gains, particularly as the pace slows, and list their home for sale now in order to move into a new home while mortgage interest rates remain low,’ said Zillow chief economist Stan Humphries.

‘But persistent inventory constraints at the low end of the market continue to make it a tough environment for first time and lower income home buyers. Low inventory and high demand can lead to rapid price spikes, which make homes even more difficult to afford for many buyers. Hopefully the inventory gains we're seeing in the middle and upper tiers of the market will begin trickling down to the most affordable homes soon,’ he explained.

In addition to low numbers of affordable homes for sale, first time and lower income home buyers armed with traditional financing are also competing with all cash buyers at the lower end of the market.

Zillow data shows that in 27 of the top 30 metros more than one third of all sales of the lowest priced homes were made with cash. In three of the top 30 metros, Tampa, Detroit and Miami, more than 80% of all sales in the lowest price bracket were cash deals.

National home values in May were up 0.1% from April to a Zillow Home Value Index of $172,300, and have now risen for 28 consecutive months. Year on year, home values rose 5.4% in May, the slowest annual pace of appreciation in more than a year.

For the 12 month period from May 2014 to May 2015, national home values are expected to rise another 2.9% to approximately $177,321, according to the Zillow Home Value Forecast.

National rents fell slightly in May from April, down 0.1% to a Zillow Rent Index of…

Help to Buy, the UK government’s flagship buying scheme, is assisting the right home buyers with 55% of purchasers coming from the private rented sector, according to a new report.

It is proving particularly popular with people who are currently renting, the latest quarterly market review from Countrywide shows.

The data also shows that the income of the average Help to Buy purchaser moving from privately rented accommodation is £41,000, while 35% of households renting earn less than £30,000.

There has been a particular bias towards lower income renters in London and the South East, where 40% of renters using the scheme to buy their first home earn under £30,000.

Indeed less than 20% of Help to Buy backed purchases were in London and South East, proving that Help to Buy is not fuelling a property bubble as some have suggested.

Help to Buy purchasers who previously lived with their family, account for 30% of those using the scheme, a significant proportion of all users of the Help to Buy scheme. They are typically first time buyers still living at home, unable to access the private rented sector due to the cost of rent, or are unwilling to do so due to a desire to save for a deposit more quickly.

As a consequence, these people tend to be younger than average, earning 16% less than those living in the private rented sector. Half of these purchasers are single person households and this means that housing costs take up a larger proportion of their income. In the majority of cases, these are new households who were saving for a deposit while paying reduced or no rent.

Help to Buy has provided a lifeline to many home owners in parts of Northern England where falling house prices have eroded the equity they hold. For existing home owners in parts of Northern England who bought in 2006 or 2007, Help to Buy has provided a lifeline after falling house prices have reduced the equity of many households, preventing them moving. In the North East, almost 30% of homes purchased through the scheme have been bought by existing home owners.

‘The Help to Buy scheme is enabling a growing number of households to achieve their aspiration of homeownership at a time when the proportion of high loan to value values is historically low,’ said Nigel Stockton, Countrywide Group financial services director.
‘Given that the scheme is funded by the government, it is important that those using it would otherwise find it difficult to buy without assistance. This has almost exclusively been the case with the majority of purchasers coming from the private rented sector or the parental home,’ he explained.

‘As home ownership rates decline, particularly amongst younger age groups, Help to Buy increasingly represents the way many new households are able to get onto the housing ladder. Help to Buy remains an extremely popular policy among aspiring home owners. While the use of the scheme by existing home owners is…

Prices in Australia’s capital cities increases by 1.4% in June with all cities apart from Adelaide and Darwin recording a rise in values, according to the latest RP Data monthly report.

Research director Tim Lawless pointed out that the strong result has partially reversed last month’s 1.9% fall and takes the quarterly fall to just 0.2%.

The report also shows that over the 2013/2014 financial year the top performing cities for capital gains have been Sydney and Melbourne where home values are up 15.4% and 9.4% t respectively across each city.

The Brisbane housing market, where conditions have generally remained relatively sedate, is now gathering some pace with values up 7% over the past 12 months, the third strongest result of any capital city.

The index results show that the softest performances over the past year have been recorded in Hobart at 2.5%, Canberra at 2.9% and Adelaide also at 2.9%.

Over the current growth cycle, capital city property values are up 15.5% with Sydney recording the most significant capital gain at 23.1% growth since the end of May 2012. Adelaide’s housing market recorded the least significant capital gain over the cycle to date, with home values rising by 5.6%.

Lawless explained that recent volatility in the month to month index reading is likely to be a seasonal factor. ‘The last time we saw a negative quarterly movement in our combined capital city index was May last year. The recent reduction in capital gains is likely a correction from the strong market conditions reported over the first quarter of the year,’ he said.

‘Looking through the monthly movements, the trend in performance is much more important. It shows that the quarterly rate of growth peaked across the Australian housing market in August last year at 4%. Since that time the rate of capital gain has generally trended towards a more sustainable level,’ he pointed out.

‘The slowdown in dwelling value appreciation will be a welcome relief to policy makers and those seeking to buy into the housing market,’ he added.

The data also shows that from a total returns perspective, Sydney once again stood out as having provided the most outstanding performance. Combining the capital gain with the gross rental yield over the year has provided Sydney home owners with a total return of 20.2% over the financial year. Melbourne, Darwin and Brisbane have also recorded a total gross return in excess of 12% over the year.

Across the different price segments of the housing market, the broad middle priced sector of the market is now showing the highest rate of annual change. Values at the most affordable end of the capital city housing markets have moved 8.8% higher over the past year compared with a 10.3% capital gain across the most expensive suburbs and a 10.6% increase across the broad middle 50% of the capital city market.

Looking at rental markets, gross rental returns are currently recorded at 3.9% for capital city houses and…

The Mayor of London, Boris Johnson, has published detailed planning guidance to ensure that future developments enhance the rich character of the city.

With London set to be home to 10 million people by 2030, the Mayor's Character and Context Supplementary Planning Guidance aims to ensure that London can continue to grow sustainably without losing its much loved distinctiveness.

The guidance encourages anyone engaged with the planning system to fully understand the heritage and environment of an area before taking important decisions on its development.

It asks planners to think about how an area has come to be the way it is, the things about it that people who live, work, and visit want to see changed and the economic, social and other forces driving change.

In addition, the document builds on detailed guidance in the London Plan and the Mayor's London View Management Framework that advises on the location of tall buildings and ensures strategic views across the city are protected. It also links in with the Mayor's Opportunity Area Frameworks and the borough's Local Plans which provide clear guidance about the right places in which to locate tall buildings.

By taking all of these factors into account, the Mayor expects that future developments will be more likely to be successful economically as well as aesthetically.

‘Planning for neighbourhoods in a city as dynamic and diverse as London is a tricky business. This guidance aims to ensure that areas do not lose their unique character while allowing developers to continue to bring forward innovative and thought provoking schemes,’ said Johnson.

The Mayor is also now consulting on his draft Social Infrastructure Supplementary Planning Guidance which considers how social infrastructure such as schools and hospitals could be developed and integrated alongside the 49,000 new homes a year that the Mayor believes need to be built to meet the demands of the city's ever increasing population.

Increasingly, London is seeing communities and parents setting up new academies and free schools and GPs working together through clinical commissioning groups to understand and meet local needs.

Johnson believes that against this changing background, the guidance provides a sensible approach that will help planners and non-planners to work together so that social infrastructure can be built where it is most needed.

UK house prices increased by 1% in June and were 11.8% higher than June 2013 meaning that they have now surpassed their 2007 peak, according to the latest data from the Nationwide Building Society.

All regions saw annual price gains in the second quarter of the year but the south of England, and London in particular continues to outperform other parts of the country, the data also shows.

It means that the average price for a home is now £188,903 and prices have now increased for 14 months in a row. In London prices were up by almost 26% in the second quarter of the year compared to the same period in 2013 and the price of a typical property in the city reached £400,000 for the first time.

Scotland was the weakest performing region with prices up 5.4% compared to the second quarter of 2013 while Northern Ireland is the least expensive region. The average price in Scotland reached £141,872 and £117,140 in Northern Ireland.

After London the South East saw the biggest quarterly change with prices up by 4.1% to an average of £230,409, followed by the South West with an increase of 2.6% to £207,420 and then East Anglia with growth of 2.5% taking the typical home price to £188,960.

The North saw a 2.3% quarterly increase to an average of £125,125, the West Midlands 1.9% to an average of £160,383, Wales 1.8% to £145,812, the East Midlands 1.7% to £154,145, the North West 1.3% to £144,851, and Yorkshire and Humberside 0.8% to £142,661.

On an annual basis prices in London have increased by 25.8%, in the South East by 14%, in the South West by 9.8%, in East Anglia 9.5%, in Wales 9.3%, in Northern Ireland by 8.4%, in the East Midlands by 8.3%, the West Midlands 8.2%, the North 8.1%, the North West 7.1%, Yorkshire and Humberside 7% and Scotland 5.4%.

Southern Scotland, which includes Ayrshire and the Borders, was the best performing area, with prices up 14% on the previous year. Fife was the weakest performing area, recording a 3% year on year increase.

In Wales, the west of the southern half of the country, which includes The Vale of Glamorgan, Bridgend and Swansea, was the best performing area, with prices up 12% year on year. North Wales was again the weakest performing area, with more modest growth of 5% over the same period.

In Northern Ireland prices remain around 50% below their 2007 peak. Belfast remains the most expensive area, and was also the strongest performer over the last 12 months, recording a 14% increase. Prices in the South of England were up 17.4% year on year, whilst in the North they rose by 7.7%. As a result, prices in all of the southern regions are now above their 2007 peak, whilst those in the north remain somewhat below.

But the annual pace of growth in London will probably start to slow in the quarters ahead, given the high base for comparison…

Pending home sales in the United States rose sharply in May, with lower mortgage rates and increased inventory accelerating the market, according to the latest data from the National Association of Realtors.

All four regions of the country saw increases in pending sales, with the Northeast and West experiencing the largest gains.

The Pending Home Sales Index, a forward looking indicator based on contract signings, increased 6.1% to 103.9 in May from 97.9 in April, but still remains 5.2% below May 2013 when it was 109.6.

May’s 6.1% increase was the largest month on month gain since April 2010 when first time buyers rushed to sign purchase contracts before a popular tax credit programme ended.

Lawrence Yun, NAR chief economist, expects home sales to continue rising in the second half of the year. ‘Sales should exceed an annual pace of five million homes in some of the upcoming months behind favourable mortgage rates, more inventory and improved job creation,’ he said.

However, second half year sales growth won’t be enough to compensate for the sluggish first quarter and will likely fall below last year’s total,’ he explained.

Despite the positive gains in signed contracts last month, Yun added that affordability and access to credit is still an area of concern for first time buyers, who accounted for only 27% of existing home sales in May and typically carry student loan debt and lower credit scores.

‘The flourishing stock market the last few years has propelled sales in the higher price brackets, while sales for homes under $250,000 are 10% behind last year’s pace. Meanwhile, apartment rents are expected to rise 8 percent cumulatively over the next two years because of tight availability,’ said Yun.

‘Solid income growth and a slight easing in underwriting standards are needed to encourage first time buyer participation, especially as renting becomes less affordable,’ he pointed out.

The PHSI in the Northeast jumped 8.8% to 86.3 in May, and is now 0.2% above a year ago. In the Midwest the index rose 6.3% to 105.4 in May, but is still 6.6% below May 2013.

Pending home sales in the South advanced 4.4% to an index of 117.0 in May, and is 2.9% below a year ago. The index in the West rose 7.6% in May to 95.4, but remains 11.1% below May 2013.

Yun expects existing homes sales to be down 2.8% this year to 4.95 million, compared to 5.1 million sales of existing homes in 2013. The national median existing home price is projected to grow between 5% and 6% this year and in the range of 4% to 5% in 2015.

On average first time buyers in the UK receive half of their deposit as a parental contribution with more than two thirds getting it as a gift, new research shows.

It means that the so called Bank of Mum and Dad is continuing to play an important role in the property market with the average amount needed amounting to £17,900.

The study from Santander Mortgages also reveals that 68% of parents who provided money to help their children get on the property ladder will get nothing back in return as it was intended as a gift.

Almost three quarters, 72%, of females were gifted the monies by their parents, in comparison to only 62% of men. Some 29% received the money as the equivalent of an interest free loan while only 3% of parents contributed towards their children’s deposit as an investment.

For those that are yet to buy their first home, the average amount they look to receive from parents is £17,900. With the average first time buyer deposit being just under £25,000 this represents a 71.6% subsidy.

Some 22% estimate that their parents will contribute £20,000 or more while 34% of those who have children yet to buy a home say they will contribute money towards a deposit in order to help them on to the property ladder.

‘Raising a deposit can be a huge challenge and our research shows that many rely on financial help from their parents in order to get a foot onto the property ladder. Buying your first home can be a daunting but there are ways to make it easier and support is available to help first time buyers with upfront costs,’ said Miguel Sard, head of Santander Mortgages.

The average value of English farm land rose by almost 3% in the second three months of 2014 to £7,517 an acre, according to the latest index report from Knight Frank.

During the past 12 months values have increased on average by 17% and over the past 10 years by 208%, the data also shows.

This compares with 244% for gold, 135% for prime residential property in central London, 52% for the FTSE 100, and just 23% for average UK house prices

The report points out that availability remains limited. So far around 16% fewer acres have been advertised publicly for sale this year, according to the Farmers Weekly Land Tracker Index. Even taking into account the off market 17,800 acre sale of the Co-op portfolio, supply is historically subdued.

At the same time demand continues to be buoyant, particularly from investors. The firm has received a number of enquires over the past few weeks from funds and the representatives of wealthy individuals analysing the market with a view to making an investment in farmland.

‘Potentially there could be more pension funds and institutional buyers in the market. There are some good deals happening off market,’ said Tom Raynham, head of Knight Frank’s Agricultural Investment team.

Investors are becoming more savvy and better advised. ‘Their knowledge of farming systems is growing. They are looking for opportunities where they can increase agricultural productivity and returns, rather than just purchasing land let under long-term agricultural tenancies, which has been the traditional investment target,’ explained Raynham.

James Prewett, head of Regional Farms at Knight Frank, said that farmers are also becoming more active. ‘They took a bit of a pause for breath at the beginning of the year when values rose quite sharply, but now the market seems to have settled into a rhythm and their confidence has returned,’ he pointed out.

‘Farmers are definitely in the mix at over £9,000 an acre for 483 acres of arable land at Banbury, Oxfordshire, that I am selling,’ he said, but added that there are still massive variations around the country.

‘I think values have plateaued in some areas, while there is room for more growth in others.” Overall, the Knight Frank Farmland Index predicts further rises of around 6% over the next 12 months,’ added Prewett.

The average void period experienced by UK landlords has continued to fall and is down to 2.7 weeks, according to the latest quarterly survey from specialist lender Paragon Mortgages.

The most recent fall sees the average void level down to what it was in 2012 with high tenant demand credited with keeping the time a rental property is empty between tenancies low.

There was a sharp increase during 2009 and 2010 and the average void period spiked at 3.5 weeks in the second quarter of 2010.

Traditionally, over the course of the 12 year landlord survey, the average void period has been between 2.6 and three weeks. The lowest average reported was 2.5 weeks in the fourth quarter of 2002.

However, the firm explained that what is important here is that from its highest to lowest point there has only been just a week’s difference.

‘What we have seen over the last 12 months is a downward trend in average void periods reported by landlords. This is encouraging as it means properties are being let quicker, which is better for landlords and better for prospective tenants,’ said John Heron, managing director of Paragon Mortgages.

‘With there being just a week’s difference in the highest and lowest void periods recorded this suggests that properties are being rented quickly, and that the letting process is managed well by both landlords and letting agents,’ he explained.

‘As tenant demand is continuing to remain high, it is likely that we may see the average time a property is empty decrease even further in the coming quarters,’ he added.

Despite mixed messages on the health of the housing market in London, demand for property in key locations in Notting Hill, Holland Park and Kensington remains strong.

Over the last three months the number of properties sold in these areas increased by 17% over the same period a year ago, according to the latest market intelligence report from agents Crayson.

The amount spent on property in prime central London has risen significantly this year. Buyers have spent an average of £157.5 million per month in our area, 27% higher than at the same point a year ago.

The report also reveals that apartments are outperforming houses. Indeed, sales of apartments have dominated the market so far this year, with the number sold rising 32% compared with the figure at this point a year ago. The opposite is true for houses, with sales so far this year down 21%.

Flats have also outperformed houses in terms of price growth. Flats sold in these areas over the last three months achieved prices per square foot that were 13.6% higher than the same period in 2013. Houses saw average prices increase at a still respectable 10.6%.

However, prices per square foot for homes selling in excess of £5 million have plateaued this year. But they are still achieving values which are 28% higher than they were three years ago.

The strongest growth in values continues to be for homes at the lower end of the market, under £1 million, and those priced between £2 million and £5 million, with average values within these price bands having risen by 12.7% and 12.9% respectively.

Within the Royal Borough of Kensington some 24% of properties currently on the market have been reduced in price since they were first marketed. The highest proportion of price reductions is seen in the price bracket over £10 million with 31% now reduced. This compares with just 21% of properties priced at £2 million to £5 million.

The report also says that 25% of the most prolific agents within these area, that is those with more than five properties listed for sale, have reduced the prices of more than a third of their available stock.

‘Put simply, vendors who achieve the best price for their property do so by bringing their home to market at the right price, creating early interest amongst buyers,’ said managing director Nick Crayson.

‘Properties that are launched at an unrealistically high price are missing out on crucial selling opportunities in the early stages of marketing. The average amount of time before a property is first reduced is currently 70 days,’ he explained.

‘Over valuing by agents is increasingly common within our market, something Crayson do not advocate. Potential vendors must ensure that they launch their properties onto the market at the right price, to attract early interest and increase the chance of achieving the best value,’ he added.

The report also points out that outside prime central London, the surrounding boroughs have continued to post significant growth. The…

Carefully controlled development, improving infrastructure and a growing celebrity following are fuelling interest in the upmarket Turkish resort of Kalkan, known as the Saint Tropez of Turkey, it is claimed.

Last winter, the cobbled streets of Kalkan's Old Town were completely restored in keeping with the resort's original fishing harbour character.

Meanwhile, the transfer time from Dalaman Airport to Kalkan, located on Turkey's pretty Turquoise Coast, has halved to 90 minutes from three hours thanks to a new road. The other option is to fly to Antalya, three hours away.

‘These improvements just cement the popularity of one of Turkey's most sought after resorts,’ said Julian Walker, director at Spot Blue International Property.

‘British buyers are attracted by Kalkan's authentic charm, which the council has been careful about preserving by implementing strict planning regulations. These include a limit on the height of any new buildings, preservation orders on buildings within the Old Town and restricting the density of development on seafront land,’ he explained.

Kalkan's growing status as an international resort is for good reason, according to the firm. It points out that Kalkan is set in a bay overlooked by the Taurus Mountains and life revolves around its old fishing harbour.

Also attractive is the cobbled streets of the Old Town, which meander up the hillside. It's hard not to have a sea view there, and the higher up you go in Kalkan, the more spectacular the vistas become.

Kalkan is forging a reputation as Turkey's capital of gastronomy. Despite its comparatively small size, it has more than 200 restaurants, many of them within the Old Town and offering rooftop dining with views across the bay. Proving its passion for food, this year the resort hosted its first ever Lycian Food Festival.

Kalkan has a small Blue Flag beach next to its harbour, but a short dolmus ride takes you to two of Turkey's most spectacular beaches. Ten minutes eastwards towards Kas is picture postcard Kaputas Beach, formed where a gorge meets the sea. Meanwhile, 20 minutes westwards from the resort is the long sweeping beach at Patara, which is part of a national park and protected from development.

Offering discreet access by boat, bundles of charm and a selection of world class restaurants means Kalkan has become a favourite with celebrities. Mylene Klass, England football manager Roy Hodgson, Princess Beatrice, football club owner Roman Abramovich, comedian and actress Miranda Hart, footballer Craig Bellamy and singer David Soul are just a few of the well-known faces to have been spotted about town.

According to Walker Kalkan has an established following with the international market, especially British people. Many visitors, including holiday home owners, return year after year. Kalkan is also a resort that can be enjoyed without a car, especially when staying in or around the Old Town.

Property for sale that would work for second home owners include three bedroom apartments, each with a private pool and views, on a brand new development in the Ortaalan area of…

The Help to Buy scheme in the UK has enabled 35,000 people to buy their own home and is playing a key role in boosting house building and the economy, new data shows.

The latest figures show that since the launch of Help to Buy 14 months ago, 22,831 people have bought newly built homes through the Help to Buy equity loan scheme. There have also been 7,313 sales through the Help to Buy mortgage guarantee and 5,173 sales through the Help to Buy: NewBuy scheme.

This takes total sales through Help to Buy to over 35,000. All sales through Help to Buy: equity loan and three quarters of overall sales through all elements of Help to Buy are new build properties.

Housing minister Kris Hopkins said that since the launch of the scheme, house building is up a third compared to last year and at its highest level since 2007, while 216,000 planning permissions were granted in the last 12 months.

Nationally, 86% of Help to Buy equity loan sales were to first time buyers, while the average house price under the scheme was £206,084, far lower than the £252,000 average house price. The vast majority of Help to Buy equity loan sales, some 94%, are outside London.

Overall, the highest numbers of Help to Buy sales are in Leeds with 580 followed by Wiltshire with 506, Central Bedfordshire at 458, Milton Keynes 417 and Peterborough 379.

‘In 2010 we inherited a broken housing market, where hard working people who could afford a mortgage were locked out of home ownership because they couldn’t get the deposit together,’ said Hopkins.

‘Help to Buy is changing that. To date, this scheme has enabled 35,000 people buy their own place with a fraction of the deposit they would normally require. And with house building up a third over the past year, it’s clearly having a wider impact, getting workers back on construction sites and building the homes communities want and need,’ he added.

The Help to Buy equity loan scheme enables people to buy a newly built home with a deposit of at least 5% of the property price, while the government offers a loan of up to 20%. The rest is covered by a mortgage. This portion of the scheme has been extended up to March 2020 with a further £6 billion, meaning the scheme will support the construction of up to 200,000 new homes.

The mortgage guarantee offers mortgage lenders the option to purchase a guarantee on mortgages where a borrower has a deposit of between 5 and 20%. Because of this support, participating lenders are able to offer more mortgage products to borrowers with small deposits.

Property sales nationwide in Canada recorded a sizeable month on month increase in May with growth of 5.9%, according to the latest data from the Canadian Real Estate Association.

It is the largest month on month increase in nearly four years and sales rose in four out of every five local housing markets, including almost all large urban markets.

Actual, not seasonally adjusted, activity in May stood 4.8% above levels reported in the same month last year, and 3.8% above the 10 year average for the month of May.

May sales were led by Greater Vancouver, Fraser Valley, Calgary, and Greater Toronto but monthly activity trailed levels reported last May in Montreal and Halifax-Dartmouth.

‘Over the past 25 years, that widespread a monthly sales increase has been recorded only a handful of times. Even so, the improvement varied by location,’ said CREA president Beth Crosbie.

The actual, not seasonally adjusted, national average price for homes sold in May 2014 was $416,584, up 7.1% from the same month last year. But the national average price continues to be skewed upward by sales activity in Greater Vancouver and Greater Toronto, which are among Canada’s largest and most expensive housing markets.

Excluding these two markets from the calculation, the average price reaches a relatively more modest $336,373 while the year on year increase shrinks to 5.3%.

The MLS Home Price Index, which CREA says provides a better gauge of price trends because it is not affected by changes in the mix of sales activity the way that average price is, was up by 4.98% year on year in May, which is slightly smaller than gains of 5.03% and 5.19% in April and March respectively.

Year on year price growth gained strength for two storey single family homes and townhouse/row units, and lost a bit of momentum for one storey single family homes and apartment units.

Year on year price gains were led by two storey single family homes with growth of 5.98%, followed closely by price increases for one storey single family homes at 5.19% and town houses by 5.04%. The price increase for apartment units was comparatively more modest at 2.93%.

Year on year price growth varied among local housing markets tracked by the index, with the biggest gains having been posted by Calgary at 10.12%, Greater Toronto at 7.08% and Greater Vancouver at 4.27%.

The national trend for new listings has mirrored the trend for sales in recent months. The number of newly listed homes rose 3.8% in May, the fourth straight monthly gain. Also in line with sales activity, new listings were up in about 80% of local markets.

‘In markets where supply had become tight, we expected sales to improve in tandem with listings. Had it not been for such a brutal winter that delayed the launch of the spring market, the improvement in new listings and sales would likely have been more spread out over the past few months,’ said Gregory Klump, CREA’s chief economist.

The…