Belvoir Group PLC (AIM:BLV), chief executive Dorian Gonsalves sees property transaction volumes to remain stable over the next three to six months, with potential improvements thereafter, especially when the Bank of England's base rate tops out.
Speaking with Proactive’s Tom Warner after the estate agent's interim results, Gonsalves noted a disparity in various indexes measuring house prices, while some have reported a decline in property prices over the last year, others indicate a slight increase.
However, Gonsalves acknowledged that buyers are currently able to secure properties at lower prices than a year ago, particularly cash buyers who are not constrained by higher borrowing costs.
Gonsalves anticipates that the lettings sector will continue to see growth, a trend often observed when property transactions fall.
"Normally what happens when property transactions fall? Normally the lettings sector tends to increase in size during that period because people rent in the period while they're holding back and not buying," he said.
Looking ahead,
Reflecting on its prospects Gonsalves said the company had seen growth across all three areas of operation in the first half of the year.
"We're comfortably in line for the full year," he stated, indicating a positive outlook for the second half of the year.