Rightmove Notes Record Prices, Signs Of Busier Market
- Average asking prices in February up a record £7,785 compared to last month
- Increases driven by ‘second steppers’ in search of more space
- Prices nearly £40,000 higher than since the start of the pandemic
Latest UK House Prices News: The price of property coming to market has increased by 2.3% this February, equating to £7,785, according to Rightmove’s latest House Price Index.
The significant increase marks the biggest monthly jump in pounds the property portal Rightmove, has recorded in its 20 years of data-gathering. It also brings the average asking price of a UK property to a mind blowing £348,804.00 making it even harder for first time buyers to get a foot on the property ladder.
On an annual basis, the average asking prices are now 9.5% higher than in February 2021, marking the highest annual rate of growth since September 2014. Prices have risen by nearly £40,000 in the two years since the pandemic started, compared to just over £9,000 in the previous two years.
First-time buyers are now locked in a cat and mouse game to save enough deposit to put down on a property before the prices go on another hike.
Market activity is also showing signs of the property market boom, with estate agents recording a 16% increase in the number of potential buyers making enquiries this month, compared to last year. It is clear evidence the property market is showing signals of a prosperous return.
London, which has been lagging behind the rest of the UK in terms of price rises, recorded the biggest jump in buyer enquiries at 24% higher than last February.
Tim Bannister, director of property data at Rightmove, said:
“As the final legal restrictions look to be ending soon, and more businesses are encouraging a return to the office for at least part of the week, we now have a group of movers who are looking to return closer to major cities, or at least within comfortable commuting distance of their workplaces.”
He added that ‘second steppers’ looking for more space than their first home offers, were also fuelling the market.
Potential sellers are showing more signs of activity, with the number of people requesting a home valuation from an estate agent up 11% compared to this time last year, said Rightmove.
While there is still a mismatch between buyer demand and the supply of home, and added pressures from the rising cost of living, Mr Bannister says that the most recent data shows, “demand rising across the whole of Great Britain, with many people determined to move as we head into the spring home-moving season.”