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Why is the stock of homes for sale so low?

Record low interest rates have boosted house prices and cut returns on other assets. That in turn has encouraged homemovers to either rent out their old home, or just keep it empty. Alongside a greater share of first-time buyers and buy-to-let investors in transactions, that has reduced the number of homes for sale. With interest rates set to rise only gradually over the next few years, market conditions are likely to remain tight for some time yet.

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