House prices fell for the fell for the eighth consecutive month, according to the Royal Institution of Chartered Surveyors (RICS).

An early Easter and fears of further interest rate rises took their toll on asking prices, however there continues to be signs of sellers holding onto unrealistic price tags.

With restrained market conditions, surveyors envisage further price falls. However, they are optimistic that sales will increase as underlying economic conditions improve further, with prospects for new jobs remaining strong in 2005.

Prices remain weak across much of the UK, and have fallen in the Midlands and Southern England with more moderate declines in the Northern regions. However, they remain stable in London and are rising more strongly in Scotland.

RICS national housing market spokesperson, Jeremy Leaf comments:
“While there are no signs of a collapse, housing market activity showed little change in March, but we expect good job prospects and stable interest rates to lead to improved sales as the year progresses.

“Getting on the property ladder is currently easier for first-time buyers as buyers increasingly call the shots. Sellers must be more realistic if they want to secure a sale.”

Comments from around the country
Fulham – London
Tim Le Blanc-Smith Esq MRICS, John D
Wood & Co
“There is a strong wave of applicants seeking to buy and who are prepared to pay asking prices as long as the vendors are realistic. Many vendors are “sitting
on the fence” at the moment, possibly waiting for the election or else failing
that they may get a better price if they wait. If the shortage of new instructions continues we will see prices start to rise again.”

Edinburgh – Scotland
Anthony Perriam Esq MRICS, Rettie and Co
“Against press expectations- and, to a degree, economic logic- the middle and upper end of the Edinburgh market has had a surprisingly strong opening to early Spring 2005. Stock levels will be critical to the health of the market in the coming weeks. If the current imbalance persists, and a shortage of quality properties continues, the outlook for the period after Easter is for brisk trading.Albeit at static yet predictable prices.”

Guildford – Surrey
Anthony Jamieson Esq. MRICS, Clarke Gammon Wellers
“The Spring market has started off fairly actively, but is very price sensitive. Only those properties competitively priced are attracting interest. More properties are now coming onto the market as the fears of a property crash appear over and we have returned to a stable marketplace with static prices.”

St Albans – Hertfordshire
Kenneth Munn Esq MRICS, Strutt & Parker
“Increased signs of activity, good level of applicants registering and viewings are
up on last year. Still price sensitive though.”

Stourbridge – West Midlands
Jeffrey Gregson Esq FRICS, Lex Allan & Gregson
“Sales appear constant or rising. Instructions a little slow perhaps due to vendors awaiting the “Easter Trigger”. Election in May may create some nerves among upper part of market.”

Oswestry – Shropshire
Jeremy Dell Esq MRICS FAAV, J J Dell & Company
“No real signs of a sustained improvement, interest is tempered by the prospect of higher interest rates and general election. The public perceives prices are too high and will inevitably fall back. First time buyers are reluctant to get onto the buying ladder.”

Bewdley – Worcestershire
John Andrews Esq FRICS IRRV, Doolittle & Dalley
“More enquiry and viewings than previous three months but level of sales less than would normally be expected for this time of year. Buyers have greater choice and are more cautious. Property needs to be realistically priced to sell.”

Wakefield – West Yorkshire
D J Martindale Esq. MRICS, Abson Blaza Property Services
“The market is fairly steady. Instructions are on the increase at a better rate than sales. New build is still popular. The change in the stamp duty should help the lower end of the market.”
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