London, UK; 01 June 2020: As the housing market quickly shifts gears out of lockdown, Reapit has released a dataset covering 13 weeks of KPI activity on their Agency Cloud platform up until the penultimate week of May. The data show a number of interesting trends that represent a very positive barometer for market recovery and growth.
Reapit Agency Cloud KPI Activity – UK
|Activity||% Change since last week of Feb *||% WoW change last two weeks**|
|Combined Sales & Lettings Internet Enquiries||10.63%||8%|
|Combined Net Sales & Lettings Viewings||-26.36%||87%|
|Combined Sales & Lettings Applicants Registered||-10.51%||42%|
|Sales Properties Registered||-33.67%||60%|
|Lettings Properties Registered||-27.50%||45%|
|Valuations Booked Sales||-40.43%||78%|
|Sales viewings to offer ratio||-35.32%||22%|
* Percentage change between weeks 24/02/20 and 18/05/20
**Percentage change between weeks 11/05/20 and 18/05/20
N.B. The Price Changes percentage reflects the percentage of properties in the Reapit system on which there was a price fluctuation. It is not the percentage size of the actual price differences.
From the last week of February (Pre-Covid) the data reveal a drop across the board on key indices which plateaued by the end of the month as the lockdown came into effect on 23 March.
Tracking the data further across sales and lettings from end-February to end-May demonstrates an expected decline in activity across all activity streams, but as seen in the positive week-on-week (WoW) percentage change, recovery is in the wings. Combined net viewings for sales and lettings are now only -26.36% below pre-Covid levels, whilst combined applicants registrations only have another 10.51% to go before recovering to February numbers. Reassuringly, combined internet enquries for sales and lettings are 10.63% higher than what we saw end-February.
An overall positive upturn in growth once restrictions were lifted on 13 May is revealed in the following two weeks, with combined net viewings for sales and lettings increasing by 87%, combined applicants registered increasing by 42%, and combined internet enquries increasing by 8%.
Sales offers, valuations and instructions data also show a strong recovery over the last two weeks of recorded data as buyers and sellers return to the market. Instructions rose by 88%, Valuations are up 78%, and Sales Offers are back to two-thirds of pre-lockdown levels. How many of these new instructions relate to prior covid valuations is uncertain, but early indications are that we are seeing a positive return to the housing market.
The sales pipeline is probably one of the most interesting aspects that has been monitored and what is extremely pleasing to see is the current resilience of the pipeline with only a drop of 6.6% of pipeline units pre-Covid.
In terms of lettings, we are also seeing an overall 15% increase in rent collection portfolios, indicating many landlords moving the collection of rent to the agents to manage.
Reapit is not alone in noting this upward trajectory in consumer demand. PropTech firm Coadjute recently revealed a 24% jump in listings just prior to the loosening of restrictions. The portals OneDome and Nethouseprices, both part of OneDome Group, today announced that they’re processing up to 4 leads a minute – up from 3 leads per minute in March and 1.7 in January.
Rightmove reported 5.2 million visits on 13 May, and commented in the wake of the market reopening two weeks ago that enquiries sent to agents by the portal were up 70% within the first four hours of agencies returning to business, with the upward trend already rising before the lockdown was lifted.
On the lettings front, data provided via the Zoopla Rental Index showed a 30% increase in demand for rental homes over the two weeks up to 14 April. In the final week of April, Chestertons noted a 28% increase in requests to view its properties available for rent.
The first quarterly (Q1) Rental Market Report from Hometrack also shows that the impact of coronavirus on the lettings market has been less pronounced than in the sales market. There were no mass withdrawels of rental properties listed to let during this period, declining only 3% compared to the 1March. Overall, the annual UK rental growth for this period was at 2.4%, up from 1.5% in March last year, further demonstrating the resilience of the lettings market during the pandemic.
Gary Barker, Chief Executive Officer, Reapit, said: “Reapit supports in excess of 30% of the UK’s property agency market, so we’re pleased to see a widespread pattern of growth and recovery taking place even before the lockdown was lifted. These are encouraging signs that the pent-up demand of over 450,000 buyers and renters, some of it pushing as far back as Brexit, is about to be released in the property market. Whilst its very early days of agents returning, we are encouraged by these recent trends.”
– ENDS –
Founded in 1997, The Reapit Group is a CRM and Client Accounting software provider specialising in the residential real estate sector. Bringing 20 years of innovation to the property market, their award-winning software provides everything estate agents need to run and grow their businesses, from sales to lettings, front office to back office, and everything in between. Reapit’s Agency Cloud and Property Cloud software products include the Sales and Lettings CRM, Property Management and Client Accounts; supported with powerful Analytics and Online solutions. The driving force behind Reapit’s ethos is a commitment to bring all an agency’s data together for a single customer view, and together with its powerful service and training model, the company has helped to grow leading brands. The Reapit open platform partner program is at the hub of a PropTech ecosystem delivering tested solutions and increasing choice of tools for agents. Together, the group provides software solutions to over 60,000 users worldwide, managing nearly 115,000 tenancies across more than 6,000 offices across the UK and Australia. For more information, please visit www.reapit.com.