Average asking price of property coming to the market is up by 1.1% (+£4,207) this month
Asking prices for UK houses have risen to a near-record level this month (April), driven by larger properties, reports Rightmove in its latest House Price Index, published this week.
The average asking price of property coming to the market is up by 1.1% (+£4,207) this month to £372,324, just £570 short of the record in May 2023, while the annual rate of price growth is now +1.7%, which is the highest level for 12 months.
Rightmove reports that a key factor behind this growth towards a near-record average price is the largest homes, top-of-the-ladder sector, which is experiencing its strongest start to the year for price growth since 2014.
It does say, however, that the housing market remains price sensitive, and operating at different speeds, with prices and activity increasing more slowly in the more mortgage-dependent sectors of first-time buyer and second-stepper.
Rightmove reports that the number of new sellers entering the market is up by 12% on this time a year ago, and the number of sales being agreed is up by 13% as both seller and buyer activity bounce back.
The biggest increase in activity is occurring in the largest homes, top-of-the-ladder sector, with the number of new sellers up by 18% against last year, and the number of sales agreed up by 20%.
Home owners are springing into action, with Thursday March 28th seeing the largest number of new sellers coming to the market in a single day so far in 2024, and the third biggest since August 2020.
Window of opportunity for those considering a move
Rightmove says there appears to be a window of opportunity for those considering a move to act, with a busy summer of sporting events, followed by a likely General Election, creating more home-mover distractions than usual
Tim Bannister, Rightmove’s Director of Property Science, said: “The top-of-the-ladder sector continues to drive pricing activity at the start of the year, with movers in this sector typically less sensitive to higher mortgage rates, and more equity rich, contributing to their ability to move. While some buyers, across all sectors, will feel that their affordability has improved compared to last year due to wage growth and stable house prices, others will be more impacted by cost-of-living challenges and stickier than expected high mortgage rates. Despite these factors, it has been a positive start to the year in comparison to the more muted start to 2023. However, agents report that the market remains very price-sensitive, and despite the current optimism, these are not the conditions to support substantial price growth. Sellers who are keen to secure their sale will still need to price realistically for their local market and avoid being overambitious at the start of marketing to give themselves the best chance of finding a buyer.”
He added: “The summer holidays are typically a time of distraction for some home-hunters, as they temporarily pause their search and head abroad or to the British seaside. In addition, the Euro 2024 football tournament and the Olympics this summer, likely followed by a General Election during the second half of the year, will add more buyer distractions than usual. There appears to be a tempting window of opportunity for those who are considering a move to act now before these distractions arrive. While affordability is still very tight, property and mortgage market conditions remain stable, buyer choice is good, and many sellers will recognise that it is the right time to negotiate on price to agree a deal. The boost in activity suggests that many home movers are already springing into action to make their move.”
Tom Kirk, Preston Baker's CEO, commented: “Preston Baker has had a great start to 2024, with an increase in properties being listed and more sales happening; we are 46% up on sales in the first quarter of 2024 against 2023, and 50% up on exchanges for the same period. It all bodes well for the property market across Yorkshire, and prices are holding strong. Now is certainly a good time for anyone thinking of selling to get their home on the market, but it’s important to be realistic about price as it is more of a buyers’ market than previously, with properties that are priced right the first time selling quicker.”
Thinking of selling? Book a free valuation
With the positive signs in the housing market, now could be the perfect time to get your home on the market, to take advantage of the increase in activity.
Preston Baker would be happy to give you a free, no obligation valuation.
We work relentlessly to get the best outcomes for home sellers, and our unique Property Launch model is proven to sell homes for more and quicker than more traditional methods.
We can also help you find your onward move, including homes that are not yet on the market.
Want to find out more? Book a free property valuation and consultation now.
