Four key takeaways on the property market this month
House prices have kept rising all year so far. However this month we’ve seen a drop of just over £1,000 from the average asking price of a home in Britain, which now stands at £337,371.
Prices fall at the top end of the market
Rightmove analysis shows that average prices have only fallen for larger homes, typically those with five bedrooms and more (houses and flats), and four-bedroom detached houses.
This is because both buyers and sellers of these homes have been impacted the most by the end of stamp duty savings from the start of July, which has also led to a slight drop in demand for bigger homes. It's also a common known fact that many people put off moving in the summer months, even if they’re holidaying closer to home this year.
Why are asking prices still rising across the rest of the market?
Average asking prices for properties aimed at second-steppers, (typically three- and four-bedroom houses and flats, excluding four bed
detached houses) and first-time buyers (houses and flats with two bedrooms and fewer) reached record highs again this month, as buyer demand remains strong. Property experts have stated that the stamp duty holiday wasn’t the biggest motivator them choosing to move, especially for buyers of lower-priced homes where the savings were not as big. We’re also seeing a jump in demand for these properties as buyers who had put their moving plans on hold during previous lockdown periods are now choosing to act.
What does this mean if I’m looking to move?
Home-owners looking to move should act soon to get a better chance of a quick sale, at a good price, and to be in their new home before the festive period. This is because the likelihood of sellers finding a buyer is close to an all-time high. Properties are selling at the fastest pace ever – within an average of 36 days. However, given the competition to buy property, many sellers are choosing to have a buyer lined up, subject to contract, before entering the race to secure their own purchase.
Wanting to buy?
If you’re looking to buy a home, it’s more than likely you will be competing with other buyers because more people are looking to move than there are homes available to buy. Which means you’ll need to be ready to move fast. If you have a property to sell, contact your local estate agent now about getting it listed for sale. You’ll be in a much stronger position as a buyer if you are in the process of selling your home, or have already accepted an offer.