United Kingdom

The average price of housing reaches a new record, according to Rightmove Business news

The average asking price for a house in the UK has reached a new record, exceeding the £ 360,000 mark, according to the Rightmove website.

The average asking price has risen by £ 19,082 in the last three months, reaching £ 360,101.

About 53% of properties are sold at or above their final announced price, the highest percentage Rightmove said it has ever seen.

The properties achieved an average of 98.9% of their final announced asking price, and the time required for sale has also halved in the last three years – from an average of 67 days three years ago to 33 days now.

Tim Bannister, director of real estate data at Rightmove, said: “With three new monthly price records in a row, 2022 began with a momentum of price increases, even greater than during last year’s holiday fee market.

“While growing accessibility constraints mean that this momentum is not sustainable in the long run, high demand from a large number of buyers pursuing too few properties for sale has led to spring price madness, a hat-trick of months with record prices and the biggest increase of prices for the three-month period that Rightmove once registered.

“The strong momentum has been carried over since last year and, combined with the boost of the spring relocation season, has provided the fastest sales market we have ever seen.

“The high speed of the market and the competition between buyers in further movement will deter some homeowners from putting their homes up for sale.

“However, if you can secure both a quick sale and a quick purchase, then it’s much less stressful than the uncertainty of a slower market, where finding a buyer for your own home can take months or months. not to happen at all. “

“Early signs of easing rising prices”

Looking ahead, Mr Bannister added: “The economic tensions of high inflation and moderately rising interest rates are being kept out of the even stronger wind of the real estate market momentum, which has been carried over since last year.

“2021 marked four consecutive monthly price records from April to July and I would not bet on improving this year, as we are already at three consecutive records in April.

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“There are some early signs of easing the frantic pace of rising prices, and buyers’ inquiries to agents have fallen by 16% from last year’s stamp duty craze.

“However amazing, customer inquiries are still 65% above the more normal market from 2019, and the number of contracted sales has increased by 21%.”

He added: “Because the imbalance between supply and demand is so unsettled, it seems that any significant delay will be gradual and will be soft rather than hard landing.

“It seems likely that the mismatch between supply and demand will remain at least until the end of this year. Even with some economic uncertainty, where you live and your home is such a fundamental solution for people that it will remain a priority for many.

“Buyers are chasing the same houses”

Real estate agents were just as optimistic about demand.

John Brierley, managing director of Lennon James Property in Huntingdon, Cambridgeshire, said: “Well-sold and reasonably priced homes are in high demand, with a queue of buyers waiting in their wings, within a few days.

“The influx of buyers moving to Cambridgeshire from London and the M25 corridor is particularly noticeable, with employers being more relaxed about homework.

Aylsa Mater, director of Andrew Coulson in Hexham, Northumberland, said: “Here in the Tyne Valley, we find that there is still a huge demand for real estate, but stocks are low.

“This means that many buyers are chasing the same houses, which means that many properties will receive the best deals.”