Average asking prices fell by 1.3% in August, according to Rightmove, the first monthly dip of the year.

The average asking price dipped by £4,795 to £365,173, said the property portal.

However, Rightmove stressed that monthly dip was usual for August and on a par with the last 10 years. It cited summer holidays taking priority as well as some new sellers ‘pricing more competitively to secure a buyer quickly’ before Christmas.

Average asking prices are still up by 8.2% compared to a year ago.

Rightmove added that this month marks 20 years of its House Price Index, with national average asking prices more than doubling in that time, from £155,994 to £365,173.

Buyer demand dips

Buyer enquiries to agents are down 4% compared to last year, said Rightmove, but remain 20% higher than 2019.

It added that new listings are up by 12% on the same period last year, but are still 6% down on 2019.

Available stock is now down a massive 39% on 2019.

Tim Bannister, Rightmove’s director of property science, said: “A drop in asking prices is to be expected this month, as the market returns towards normal seasonal patterns after a frenzied two years, and many would-be home movers become distracted by the summer holidays.

“Indeed, for those that can, this may be their first summer holiday abroad since before the pandemic. Sellers who want or need to move quickly at this time of year tend to price competitively in order to find a suitable buyer fast, with some hoping to complete their move in time to enjoy Christmas in a new home. To achieve that this year, they’d need to beat the current average time between accepting an offer and completing the sale of four and a half months.

“Nevertheless, we’re still expecting price changes for the rest of the year to continue to follow the usual seasonal pattern, which means we’ll end year at around 7% annual growth, even with the wider economic uncertainty.”