UK house prices hit a record high
As UK house prices hit a record high it’s reported that the value of the average home in the UK has increased by £44 per day during the past six months alone; up from £30 per day between July 2020 and January 2021.
The housing market is moving at its fastest pace for five years, with sales agreed on homes in less than 30 days on average, according to Zoopla in its latest House Price Index report. Normally, it takes 40 days at this time of year.
The newly-published report says that UK house prices have hit a record high of £235,000.
If you are looking to move now could be an opportune time, but you need to be in the best possible position. If you have a current property to sell this means getting it on the market.
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House prices up by 6.1%
House prices increased by 6.1% in the last year, which is over double the rate of annual house price growth seen in August 2020.
The search for space prompted by the pandemic continued to encourage house hunting, with demand from buyers still 35% up on the average for the past five years.
The report states that the acute shortage of homes for sale goes on, with levels 28% lower so far this year compared with the average for 2020.
There is some good news for first-time buyers. It’s reported that although there is a shortage of homes for sale there is some evidence that some landlords are selling up. A total of 8% of the homes currently being marketed have previously been rented. This is up from a UK-wide average of only 3% two years ago. This could boost choice for any first-time buyers who are typically keen on buying the same kinds of homes as landlords.
If you are happy to buy a flat you are not only likely to have less competition but you may also be in a better position to negotiate on price.
If you have a family home to sell you are very likely to be able to get a top price and a quick sale, says Zoopla.
What next for the housing market?
Zoopla says the hunt for space among buyers has further to go as people take a look at their homes and lifestyles. However, demand is likely to fall by the ending of government support. In addition, more challenging economic conditions will likely have an impact in the last three months of the year.
Gráinne Gilmore, head of research at Zoopla, said: “We expect the market to remain busy compared to historical norms, and for price growth to remain in firmly positive territory at the end of the year, although lower than current levels of +6.1%.
“Stock levels will start to rebuild in early 2022 as market activity returns to more normal levels.”
What is advised is that with the market remaining so fast-moving, it is advised to get everything lined up before starting your search for a property, so that you will be in the best position possible to move quickly if you see something you like. This means getting your property on the market.
Contact Preston Baker Estate Agents for a free property valuation.
