Q3 market report

Market Review Third Quarter Report 2013

www.corumproperty.co.uk

Exclusively Estate Agency.

West End

Sally Cormack 0141 357 1888 sally.cormack @corumproperty.co.uk

Newton Mearns

Marc Leslie 0141 639 5888 m.leslie @corumproperty.co.uk

Bearsden

Siobhan Cox 0141 942 5888 s.cox @corumproperty.co.uk

Ayr

Bruce Patterson 01292 880888 b.patterson @corumproperty.co.uk

West End

James Lang 0141 357 1888 j.lang @corumproperty.co.uk

Shawlands

Lesley Sim 0141 636 7588 lesley.sim @corumproperty.co.uk

Bearsden

James Durward 0141 942 5888 j.durward @corumproperty.co.uk

Troon

Colin McCrossin 01292 310010 c.mccrossin @corumproperty.co.uk

At Corum, we offer one service.

Estate Agency.

Buying or selling, we spend more time listening to what you want and why. We devote more time to added value activities to help you achieve it. And we’re on hand to guide, advise and support you throughout the process - and often, beyond. Meet the Corum team.

West End

John Davidson 0141 357 1888 j.davidson @corumproperty.co.uk

Shawlands

Ewan Blair 0141 636 7588 ewan.blair @corumproperty.co.uk

Bridge of Weir

Stephanie Morton 01505 691 400 stephanie.morton @corumproperty.co.uk

Troon

Colette MacCallum 01292 310010 troon @corumproperty.co.uk

Newton Mearns

Mark Jamieson 0141 639 5888 m.jamieson @corumproperty.co.uk

Shawlands

Lynsey Smith 0141 636 7588 lynsey.smith @corumproperty.co.uk

Bridge of Weir

Murray Houston 01505 691 400 m.houston @corumproperty.co.uk

Largs

Lesley McClure 01475 675001 l.mcclure @corumproperty.co.uk

Newton Mearns

Joyce Watt 0141 639 5888 j.watt @corumproperty.co.uk

Shawlands

Alastair Reid 0141 636 7588 alastair.reid @corumproperty.co.uk

Ayr

Lynda Shirra 01292 880888 l.shirra @corumproperty.co.uk

Largs

Neil Bremner 01475 675001 n.bremner @corumproperty.co.uk

Contents Managing Partner Overview .............................................................1 Bearsden

.............................................................2

West End

.............................................................3

Newton Mearns

.............................................................4

Shawlands

.............................................................5

Ayr

.............................................................6

Bridge of Weir

.............................................................7

Largs

.............................................................8

Troon

.............................................................9

Third Quarter report 2013

House price bubble?

Before we scoff at such obvious media hype and convoluted sensationalism, we should bear in mind that ‘from little acorns, oak trees grow.’

Our Q3 statistic endorse a positive if still limited recovery and we remain committed to our view that the medium to long term prospects for prices and the market in general are positive.

Currently we would describe prices as broadly firm in general, with any increases being modest, but welcomed in that capacity.

Some prices are still soft to unpredictable, especially at the higher end of the price scales, were activity is still subdued.

As commented on previously we believe house prices relate closely to earnings and in that regard price rises could be limited by that dynamic, despite lower borrowing rates.

Demand levels have certainly, increased significantly in the mainstream market and, as they have yet to be matched by a commensurate increase in supply levels, this probably accounts for most of the price increases we have witnessed.

What can be clearly delineated for most of our potential customers is that there is genuine appetite and motivation to buy, which in itself has been reinforced by a willingness to lend on both more accessible criteria and competitive pricing.

Those who have ‘deferred’ a move, or simply been put off by the abject negativity that surrounded the market until recently, can and should now proceed with confidence and optimism.

John Kelly Managing Partner Newton Mearns 0141 639 5888

Despite positive improvements in most measurements attributable to our business we still feel that there is greater capacity in the level of transactions we can facilitate.

Once the market is fully functioning at a more recognisable volume, in keeping with historic average, we can better assess were it’s going, particularly in the respect of the media’s new darling - House Prices.

Returning to our ‘little acorns’ theory; we believe that talk of ‘bubbles’, ‘booms’ and any other related hype is totally counterproductive - we have come through an immense period of difficulty and uncertainty - what we require now is the opportunity for a recovery to ‘breathe’, gain strength and momentum until such times as it’s fully self perpetuating - we believe for at least another 6-9 months.

We believe that the Government and the Bank of England deserve credit for their supportive measures and policies and that these should not be constricted or deflected by the tabloid’s hysteria, after all they were partly responsible for magnifying the negative to our detriment through recession and should not be allowed to scupper a recovery prematurely.

Like every sensibly minded citizen we have no interest in ‘bubbles’ - in our experience they are best restricted to baths and kept well away from property.

Like the little acorns that grow over many years into strong oak trees, we should be nurturing our market for solid, long term growth... Just give it time.

1

Bearsden

James Durward Bearsden 0141 942 5888 j.durward @corumproperty.co.uk

Third Quarter report 2013 Qualified buyers right here, right now.

Quarter 3 (July – September) 2013 continues what has been a remarkable year so far for our branch at Bearsden. Not since the height of the market in 2007 have we experienced such a “buzz”. Whether due to far better economic indicators or a significantly improved mortgage market, there is no doubt that confidence to make a property purchase in the suburbs of Bearsden and Milngavie has returned, to the point where we now have considerably more buyers than sellers on our books.

So if you are considering selling but think it may be better to hold off until 2014, don’t. We have qualified buyers right here, right now.

Indicators of an improved market is that, year-to-date, our Bearsden branch has sold more properties in 2013 (160) than at the peak of the market in 2007 (141) and an increase of 11% over last year.

Corum Bearsden office 4 Canniesburn Toll Bearsden G61 2QU Tel: 0141 942 5888 www.corumproperty.co.uk 2

In Q3, a quarter with two traditionally quieter months (July and August), the branch statistics have been hugely encouraging and, at the same time, a little frustrating as they could have been even greater had more clients chosen to put their property on the market for sale.

If you could be tempted, contact Corum Bearsden on 0141 942 5888 to discuss entrusting us with your home sale.

West End

James Lang West End 0141 357 1888 j.lang @corumproperty.co.uk

Third Quarter report 2013 The “sellers market” has returned with fury The third quarter of 2013 has cemented a growing belief of marked improvement in the West End property market. We have now had a solid year of stable and positive trading, the last 12 months have been the most consistent for the West End branch and for Corum network as a whole.

We have sold £200 million worth of property in the last three months, the majority of this has sold at closing date and for in excess of home report values.

The “sellers market” has returned with fury, the continued low mortgage interest rates and the increased viability of lenders funding has enticed buyers and investors back into the property market.

The majority of buyers are leaving the rental sector, this is a challenge in itself, as they are not replacing properties onto the market for sale.

There is a shortage of stock and we have a huge demand for flats, conversions and family homes.

Corum West End office 82 Hyndland Road Glasgow G12 9UT

There is no need to wait until next year to sell your home as many buyers are flexible with regard to move in dates, due to their rental situation.

Not only can we secure a great price, but also a date-of-entry to suit your needs, some within 3 weeks or up to six months at the sellers request.

We have arguably the best database of clients looking for middle to high end properties, we are often in a position where we can sell on a low key basis without formal marketing.

So whether you are ready to sell, or are just curious to see how the market is performing in your area, please don’t hesitate to contact our highly experienced team to discuss your requirements.

We are forecasting an even greater demand in quarter four, due to the shock announcement of the early rollout of the governments ‘Help to Buy’ scheme.

This will increase the availability of mortgages at 95% level which undoubtedly help sales of the first time buyer properties,which will allow clients to move up the property chain.

James Lang and John Davidson are able to meet, often at short notice, to provide clients with valuable advice on what steps are required to effect a sale of their home.

Tel: 0141 357 1888 www.corumproperty.co.uk 3

Newton Mearns

Mark Jamieson Newton Mearns 0141 639 5888 m.jamieson @corumproperty.co.uk

Third Quarter report 2013 Best third quarters since the company started The market for the third quarter of 2013 for the Newton Mearns branch, resulted in £16 million worth of property sales, and one of the best third quarters since the company started in 2003.

A significant short supply, continues to keep the low to middle market, robust and extremely buoyant. As we focus on the Autumn and winter months ahead, the activity levels have increased, where buyers are mobilising themselves, and are desperately seeking the right property for the end of 2013 or the beginning of 2014.

With mortgage approvals at a five year high, and the government bringing forward the ‘Help to Buy’ scheme by 3 months, the impetus and willingness is there, and we just need more stock to satisfy the demand. There is definitely time to come to the market and achieve a sale before the year has come to a close. An increasing number of enquiries and viewers have been seen at the middle to upper end of the market, particularly between £500,000 and £700,000 bracket.

Corum Newton Mearns office 116 Ayr Road Newton Mearns G77 6EG Tel: 0141 639 5888 www.corumproperty.co.uk 4

The complicated jigsaw of moving in what is a challenging market, needs to be considered carefully, and Corum have the specialist skills to guide you through the market place.

Specifically we are needing stock of traditional homes in Giffnock between, £300,000 and £600,000. Recent sales in Mearnskirk, the most recent at a closing date, again leaves us needing stock in this highly sought after family development. A country home has just sold in 3 weeks and achieved well over the asking price, so we are able to carefully handle the sales of all style of property, and help you move.

To demonstrate our commitment to the market we are able to offer very competitive packages.

The service proposition is an all encompassing, unwaivered focus on achieving the best results for the our client. We will ensure you are never knowingly undersold!

Shawlands

Ewan Blair Shawlands 0141 636 7588 ewan.blair @corumproperty.co.uk

Third Quarter report 2013 July, August and September have certainly delivered!

Quarter three has proven, if any further evidence was required, that the market is well on it’s way to a steady and progressive recovery.

Spring is historically by far the best time for potential vendors to approach the market place.

Given limited supply this year and a steady and continual build in customer confidence, it would appear that the Autumn market is going to be our “second Spring”. Despite a minimal dip over the school holidays/Glasgow Fair, July, August and September have certainly delivered! Both in terms of fantastic weather and an overall feel good factor within the general public, the market has seen renewed confidence, most noticeably in the middle reaches.

The extreme bottom end, what was originally described as first time buyer property or affordable homes, is still proving to be highly challenging as buyers struggle to generate even minimal deposits to get on the property ladder.

Corum Shawlands office 247 Kilmarnock Road Shawlands G41 3JA

Those however, who have owned one or two properties, have a bit of equity, or are fortunate enough to have family backing are in a position to benefit from fantastic mortgage deals and an increasing choice of available homes. The mid range/family market is proving to be evergreen with sandstone terrace, bungalows, villas and conversions all performing noticeably better than before. Closing dates on well presented homes are becoming prevalent as opposed to scarce.

We have, thankfully, started to experience more churn in the middle/upper market with considerably more sales in the £500,000/£600,000 region than in previous years. No doubt this will filter up the food chain, and all things being equal 2014 should see a market improvement for larger villas.

This is all going to take time. A progressive and steady rebuilding process is sure to outlast the boom and bust mentality of previous markets.

The government’s pledge to keep interest rates at an all time low until unemployment is “fixed” can only help to restore public confidence, thus creating a solid launch platform for future success.

Despite the onset of quarter four and the impending Autumn/Winter market, our expectations are high and everyone seem to have a spring in their step, long may this continue.

Tel: 0141 636 7588 www.corumproperty.co.uk 5

Ayr

Bruce Patterson Ayr 01292 880888 b.patterson @corumproperty.co.uk

Third Quarter report 2013 More properties sold at closiong date The Ayr and Prestwick housing market continued it’s strong performance during the third quarter, with a further increase in volumes and concentrated activity particularly within the lower to middle price ranges. Buoyed by the Scottish version of ‘Help to Buy’ equity loan scheme which starts on the 30th September, and an endorsement by the Bank of England to continue with low interest rates, we are now seeing closing date sales (multiple offers) on a regular basis, especially for traditional bungalows and smaller family homes.

In Seafied this month we have recorded several sales in excess of £200 per sq. ft., which is well above the five year average and indicative of a vastly improving market. This has been driven in part, by an increase in the number of buyers downsizing from the greater Glasgow area in order to fund retirement plans. Family homes in Doonfoot have also been in demand and three of our sales at the £400,000 plus range have achieve closing date sales within the last quarter.

Corum Ayr office 14 Beresford Terrace Ayr, KA7 2EG Tel: 01292 880888 www.corumproperty.co.uk 6

Prestwick remains Ayrshires property hotspot and we have successfully sold over a dozen properties at various price levels within the last quarter.

We are now suffering from a lack of supply and would encourage any potential purchasers within the Prestwick and surrounding district to make contact with our Ayr or Troon offices as we have an extensive mailing list for this area.

Although there are challenges that remain at the top end of the market, it is noted that during previous economic recoveries that this sector is the last to recover. As almost all housing market indices are now reporting positive news, we anticipate a significant improvement at this level to occur within around six to twelve months. As always any questions or information please email me at b.patterson@corumproperty.co.uk

Bridge of Weir

Murray Houston Bridge of Weir 01505 691400 m.houston @corumproperty.co.uk

Third Quarter report 2013 Confidence is returning The recovery of the residential property market in the UK has been discussed enthusiastically within the media in recent weeks. Political parties and lenders have been keen to promote their own views, but there seems no doubt that confidence is returning and many areas are enjoying the most buoyant conditions for some five years.

The evidence of this recovery does vary considerably across different geographic regions and socio-economic groups. In the Renfrewshire area the transition has been slightly later and more subdued than experienced in the more affluent suburbs of Glasgow. The selling times continue to shorten and by the end of August, 23% of our properties in Renfrewshire were sold at a closing date. Increasing numbers of new enquiries are being generated by home owners yet to market their own homes, but tempted by the available stock. This confirms the increasing confidence in the marketplace.

Corum Bridge of Weir office 2 Windsor Place Main Street Bridge of Weir, PA11 3AF

Corum have intimate knowledge of the requirements of our registered applicants and can match ready and willing buyers with these new properties helping individuals to secure the home they desire.

The market is stimulated by new properties and most homes will command better prices if greater levels of interest are experienced at the start of the marketing campaign. Corum concentrate only on Estate Agency and can devote all of our time trying to help you to buy or to sell.

We have invested in HD movie tours and the highest quality of photography to ensure the best reaction to our extensive traditional and online advertising. We do require new properties to match the requirements of our clients in many areas of Paisley, Kilbarchan, Bishopton, Houston, Bridge of Weir and Kilmacolm.

Let’s keep the market recovery on track by supplying new properties and sustain the growth in transactions that can fuel a sustainable rise in property values. Why not contact our Renfrewshire Branch to discuss how best we can help you to move? We are open 7 days a week including late nights. All our staff have visited the properties we are marketing and can advise how they match your requirements. Talk to us and experience why not all Estate agents are the same.

Tel: 01505 691 400 www.corumproperty.co.uk 7

Largs

Neil Bremner Largs 01475 675001 n.bremner @corumproperty.co.uk

Third Quarter report 2013 Largs sales are up 33% on last year!

Might the North Ayrshire market finally be turning the corner? At Corum Largs, we think it is!

What a difference a year makes! The Largs branch is up 33% on business compared to this time last year, indicating that the North Ayrshire market is continuing its steady recovery. For the first time in years we are experiencing regular closing dates, indicating that demand is outstripping supply in certain sectors of the market.

With such fantastic results for Quarter 3 sales, we have been left with a marked decrease in stock levels and it is important to put out the message that seasonality is having no effect on sales in our area.

Corum Largs office 66 Main Street Largs KA30 8AL Tel: 01475 675001 www.corumproperty.co.uk 8

The Largs branch have sold more property in September than they did in April, and October is looking extremely positive. Although clients are gaining a new found confidence in the marketplace, they are still opting to sell first before they buy, therefore resulting in a glut of hot buyers considering renting property as there is not enough supply of housing stock to purchase on the market! We are forecasting more sales in the Autumn/Winter period this year than in Spring.

With this in mind, we would urge any potential clients thinking of selling their home to come forward now and take advantage of the turning point in the property market. We offer a free, no obligation valuation by experienced staff who will provide you with an in-depth knowledge of the local marketplace.

Troon

Colin McCrossin Troon 01292 310010 c.mccrossin @corumproperty.co.uk

Third Quarter report 2013 Sales are 20% up!

Well who would have thought! Our over-riding problem is a lack of stock! After a fantastic yearto-date we are suffering from a shortage of stock in all property types, and more importantly pent up demand at nearly all price points. A wonderful situation for anyone thinking about selling before the end of the year.

The numbers speak for themselves with year-todate number of sales up 20%, closing dates up 10% and ready-to-move purchasers up 15%.

Healthy increases and hopefully signs that we have turned the corner.

So why wait till Spring to be one of many on the market when it stands to reason that a property placed on the market over the next 6-8 weeks is almost guaranteed an excellent response, and quite likely a closing date with multiple offers?

Surely not an opportunity to be missed! If you are considering selling and would like to know more please do not hesitate to contact me personally at Corum Troon.

Corum Troon office 29 Portland Street Troon KA10 6AA Tel: 01292 310 010 www.corumproperty.co.uk 9

Corum Branches Ayr Branch 14 Beresford Terrace Ayr KA7 2EG

Newton Mearns Branch 116 Ayr Road Newton Mearns G77 6EG

Tel: 01292 880888 ayr@corumproperty.co.uk

Tel: 0141 639 5888 n.mearns@corumproperty.co.uk

Bearsden Branch 4 Canniesburn Toll Bearsden G61 2QU

Shawlands Branch 247 Kilmarnock Road Shawlands G41 3JA

Tel: 0141 942 5888 bearsden@corumproperty.co.uk

Tel: 0141 636 7588 shawlands@corumproperty.co.uk

Bridge of Weir Branch 2 Windsor Place Main Street Bridge of Weir PA11 3AF

West End Branch 82 Hyndland Road Glasgow G12 9UT

Tel: 01505 691 400 bridgeofweir@corumproperty.co.uk Largs Branch 66 Main Street Largs KA30 8AL Tel: 01475 675001 largs@corumproperty.co.uk

Corum is a trading name of The Corum Partnership, 20 Blythswood Square, Glasgow G2 4GB.

Tel: 0141 357 1888 westendenq@corumproperty.co.uk Troon Branch 29 Portland Street Troon KA10 6AA Tel: 01292 310 010 troon@corumproperty.co.uk