Average asking prices hit record high – again!
Homes sold faster than ever in April, according to Rightmove, in what it described as a ‘spring market frenzy’.
The property portal noted that average property prices hit their third consecutive monthly price record, reaching £360,101 this month, 1.6% or £5,537 higher than in March.
All regions and all market sectors hit new record price highs, for only the second time since 2007. And properties are selling faster than ever, twice as quickly as in the pre-pandemic 2019 market.
In fact, over the last three months, Rightmove said that the £19,000 average price jump is the largest it’s ever seen.
Over half – 53% – of properties are now selling at or over the full asking price, again the highest level ever seen.
Rightmove said that the pace of price rises this year appears to be tailing off slightly, as the impact of the cost of living crisis begins to be felt.
But with buyer demand still riding high and stock of homes for sale still limited, it’s unlikely we will see sustained price falls.
Tim Bannister, Rightmove’s director of property data said: “With three new monthly price records in a row, 2022 has started with price-rise momentum even greater than during the stamp-duty-holiday-fuelled market of last year.
“While growing affordability constraints mean that this momentum is not sustainable for the longer term, the high demand from a large number of buyers chasing too few properties for sale has led to a spring price frenzy, a hat-trick of record price months, and the largest price increase for a three-month period Rightmove has ever recorded. The strong momentum has carried over from last year and, combined with the impetus of the spring moving season, has delivered the quickest selling market we’ve ever seen.”
Emma Cox, director of real estate at Shawbrook, added: “House prices have continued to defy gravity largely due to demand far outweighing supply. Despite the prices and the rising cost of living outpacing inflation, buyers have remained surprisingly determined in the face of a challenging market and have taken to acting quickly to guarantee their purchase.
“Though, further increases in price – as well as living costs – could see activity stabilise and an element of price correction in the year ahead.”