Sellers should act swiftly to capitalise on recent gains
If you are thinking of selling your home then now is a good time to do it, looking at all the latest signs from the housing market.
The housing market is starting to slow, but buyer demand is still 40% up on the five-year average but is beginning to slowly decline, according to Zoopla, so sellers should act swiftly to capitalise on recent gains.
Zoopla’s latest House Price Index shows that house price growth is beginning to slow with property prices staying broadly unchanged since last month. As the cost of inflation continues to be felt, property prices are showing the smallest monthly price increase since December 2019.
Zoopla’s House Price Index shows that the average UK property price has risen by only 0.1% since May. The quarterly growth is 1.4% - the slowest since March 2021.
Year-on-year, property prices have increased 8.4%, down from +9.2% in April, and the speedy house price growth witnessed across the UK since the beginning of the pandemic has finally peaked.
The number of listings where asking prices have been reduced is on the up, with one in 20 properties (or 5.1%) showing a reduction of 5% or over in May, which is up from 4.7% in April.
The average price reduction is 9%, which, when applied on the average property price, comes to a discount of in the region of £22,500.
However, the number of new sales agreed is 21% over the five-year average, which shows that there is still plenty of appetite amongst buyers, so now is still a good time to sell your home.
Gráinne Gilmore, Head of Research at Zoopla, said: “Buyer demand is still strong in the housing market, but signals are emerging that the impetus may be easing, so those who want to make a move should investigate their options sooner rather than later.
“In addition, mortgage rates are likely to continue to climb, so locking into a rate shortly could save hundreds over the longer-term.
“There are many factors supporting the price growth seen since the start of the pandemic, not least the continued imbalance between demand and supply, but the increasing cost of living, increasing mortgage rates for buyers and cloudier economic outlook will act as a brake on house price growth through the rest of the year.”
Act now to ensure you capitalise on recent gains in the housing market. Find out how much your house is worth; book a free property valuation and consultation with Preston Baker Estate Agents.
Book your free property valuation now.
