UK Property Sales Slowing
In Newbury, England, the slowdown has started. "Click Newbury estimates that the total commissions earned by the town's estate agents slumped by 44% compared with the first quarter of 2004. The number of properties sold in the RG14 postcode was 117, with a total value of £26.8m. Whereas, in the first three months of 2004, 228 properties were sold, with a total value of £47.3m."
Like many other markets, the mania persists even as the psychology breaks down. "This slump in commissions is entirely due to a drop in the volume of transactions. The average price of those properties sold has actually risen from £207,352 in the first three months of 2004 to £229,746 in the first quarter of 2005."