Survey suggests UK housing market is on the road to recovery

The UK housing market appears to have finally turned a corner as buyers returned to the market in their biggest numbers for four years, according to the latest Royal Institute of Chartered Surveyors (RICS) Residential Market Survey.

The survey reveals that during July, the number of potential buyers looking to enter the market grew at the fastest rate since July 2009. Since the start of the year, buyers have gradually been returning to test the market and new figures also suggest the significant numbers of first time buyers taking advantage of the government's Help to Buy Scheme, has had an impact.

The government's figures suggest that there have been over 10,000 new registrations to the Help to Buy Scheme since April; a striking increase on the figure of 4,000 in June.

RICS highlight that the market growth, significantly, was seen in each and every part of the UK as the recovery, initially focused in the South East, spread to regions across the country. The West Midlands and the North East – areas which have suffered more than most since the market crash – experienced the biggest increases in buyer activity in July.

Consequentially, prices rose in the country for the fourth consecutive month and grew at their fastest rate since the market peak of November 2006. Notably, this was not only confined to more affluent parts of the country such as London, but every region saw growth as we enter the end of the summer period.

In tandem with rising buyer confidence, more potential sellers looked to test the market and place their homes up for sale, according to RICS. Last month, 15% more RICS respondents reported rises rather than falls in new instructions, continuing a six month upward trend. However, in each of these months, RICS say, this figure has been outstripped by the change in new buyer enquires.

RICS predict that prices will continue to rise aross the country.

"These results are great news for the property market as it looks like at long last a recovery could be around the corner," said Peter Bolton King, RICS Global Residential Director.

"Growth in buyer numbers and prices have been happening in some parts of the country since the beginning of the year but this is the first time that everywhere has experienced some improvement. It is clearly good news that those parts of the property market that were struggling are at last showing some signs of life."