Large homes going onto the market have driven growth in asking prices, according to Rightmove.
The property portal said that the average asking price of property coming to the market is up by 1.1% in April.
This is the equivalent of a £4,207 monthly rise to £372,324 and close to the all-time record-high asking price.
The annual rate of price growth is now 1.7%, which is the highest level for 12 months.
Large homes boost
Rightmove said that a “key factor behind this growth” is a strong start to the year for the largest homes – the so-called ‘top-of-the-ladder’ property sector.
It admitted that prices and activity are rising more slowly in the more mortgage-dependent first-time buyer and second-stepper sectors.
Seller numbers up
The number of new sellers coming to the market is up by 12% compared to this time a year ago, and the number of sales being agreed is up by 13%.
Again, the large property sector has seen the biggest boost, with sellers of top-of-the-ladder homes rising by 18% and sales agreed up by 20%.
Tim Bannister, Rightmove’s director of property science, said: “The top-of-the-ladder sector continues to drive pricing activity at the start of the year, with movers in this sector typically less sensitive to higher mortgage rates, and more equity-rich, contributing to their ability to move.
“While some buyers, across all sectors, will feel that their affordability has improved compared to last year due to wage growth and stable house prices, others will be more impacted by cost-of-living challenges and stickier-than-expected high mortgage rates. Despite these factors, it has been a positive start to the year in comparison to the more muted start to 2023. However, agents report that the market remains very price-sensitive, and despite the current optimism, these are not the conditions to support substantial price growth.
“Sellers who are keen to secure their sale will still need to price realistically for their local market and avoid being overambitious at the start of marketing to give themselves the best chance of finding a buyer.”
