In January, the average home’s price tag rose by approximately £4,500 compared to the previous month, as reported by a property website.
This increase reflects sellers’ optimism about the potential improvement in mortgage affordability, which they hope will bolster the market.
The average property price in Britain saw a 1.3% month-on-month increase, climbing by £4,571 to £359,748, according to Rightmove.
This rise occurs amidst a competitive mortgage market, where lenders are vying to offer lower rates in anticipation of potential interest rate cuts this year.
Despite the recent uptick in asking prices, they remain 0.7% below the levels seen a year ago.
Rightmove has observed a 15% year-on-year increase in the volume of new properties being listed for sale.
The website emphasizes the importance of competitive pricing by sellers, noting that the influx of new properties on the market is outstripping the rise in buyer demand.
In the first week of 2024, the number of prospective buyers inquiring with estate agents about properties for sale was 5% higher than the same period last year. This growth in activity was most pronounced in London and the North East of England, as per Rightmove’s data.
The website also noted an increase in the number of sales being agreed upon at the start of January compared to the beginning of the previous year.
Tim Bannister, Rightmove’s Director of Property Science, commented, “After a stop-start market in 2023, the initial signs suggest a smoother year for movers in 2024.”
