The latest Rightmove index today showed that price of property coming to market jumped by 1.8% (+£5,983) this month, the biggest rise at this time of year since October 2015.
Market delivered a ‘full house’ for first time since March 2007, with price records in all regions of Great Britain and in all property market sectors (first-time buyer, second stepper and top of the ladder).
Strong housing market fundamentals and a window of opportunity to buy before a potential interest rate rise keep activity robust despite end of final stamp duty incentive. Number of sales being agreed was up 15.2% in September, versus 2019’s ‘normal market’ comparison. Number of new properties coming to market ticks up compared to summer, but not enough to satisfy strong autumn demand from buyers.
Director of Benham and Reeves, Marc von Grundherr, commented:
“We’ve seen a second wave of activity hit the market in the wake of the stamp duty holiday as those who refrained from the chaotic market conditions seen over the last year now decide to take the plunge.
“With the market remaining particularly buoyant, those entering with a property to sell are pricing high and this has caused yet further growth where asking prices are concerned. While initial asking price expectations are perhaps a little over-optimistic, to say the least, a lack of stock to satisfy demand means that homes are selling fast and for a very good price.
“We’re certainly starting to see stronger signs of a London market revival. House price growth across the capital has remained fairly muted in contrast to the rest of the nation but a return to the workplace and the return of foreign interest is starting to drive the market forward.
“Don’t be surprised to see London regain the property price growth top spot before the year is out.”