The May 2024 Rightmove House Price Index reveals record-breaking trends in the UK property market. The average asking price for properties has surged to a new high of £375,131, an increase of 0.8% (£2,807) from the previous month. This growth is attributed to the Spring selling season, which typically exerts upward pressure on prices.
Despite this rise, the market remains sensitive, with average asking prices only 0.6% higher than a year ago. The top-of-the-ladder sector, encompassing large homes, leads this growth with a 1.3% increase compared to last year.
Pent-up demand from buyers who postponed their plans last year is driving increased activity, even though mortgage rates remain high. Sales agreed in the first four months of 2024 are 17% higher than the same period in 2023, surpassing the 12% increase in new sellers.
However, the lengthy process from sale agreement to legal completion remains a challenge, averaging 154 days. Sellers hoping to move by Christmas should act now, as it takes over seven months from listing to completion.
Rightmove's data shows that properties priced correctly from the outset sell significantly faster, averaging 32 days to find a buyer, compared to 112 days for properties needing a price reduction.
For first-time buyers, affordability remains a key issue. The index considers average mortgage payments, rent, and borrowing capacity based on earnings to evaluate affordability trends.
Rightmove’s index, based on data from over 13,000 estate agency branches, provides real-time insights into the housing market, reflecting asking prices at the start of the selling process.
#UKHousingMarket #PropertyPrices #RightmoveIndex #RealEstateTrends #HomeBuying #SpringSellingSeason
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