Property sales prices have hit a record high for the third month in a row, pushing the typical price tag across Britain to £336,073.
The price of homes coming to the market increased by 0.8%, or £2,509, on average in June, according to Rightmove.
It said asking prices across all regions have risen – despite Office for National Statistics (ONS) figures last week showing the average UK house price fell by £5,000 in April after reaching a record high in March – the month when a stamp duty holiday was originally due to end.
The ONS house price index is less timely than Rightmove’s data as it is based on completed sales at the end of the conveyancing process, rather than the prices that sellers are looking to achieve.
Tim Bannister, Rightmove’s director of property data, said: “Record low interest rates and stamp duty tax reliefs have helped many to afford higher prices, satisfying their pent-up desires for a new home fit for a new era.
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“Some of that demand has now been met, and the phasing out of stamp duty reliefs has also taken away some of the urgency to move, though our high traffic and search data indicate that there is still strong buyer demand. This super-charged activity cannot go on forever, but we expect the market to remain vigorous for at least the remainder of the year.”
Demand is particularly high for “top of the ladder” detached homes with four bedrooms or more with the number of sales agreed for properties priced over £500,000 up by 49% in May compared with May 2019.
The housing market as a whole has seen an average price rise of 7.5% since March 2020, or £23,448. But average prices for top of the ladder homes have increased by £67,394, or 12.3%, during this period. Prices of newly marketed properties in Wales are up by 14.6% since March 2020 – the biggest rise in Britain, Rightmove said.
The second largest price rise is in the South West, where price tags are up by 11.4%.
Mr Bannister continued: “Average prices in Wales are well below the national average, offering good value as well as beautiful rural and coastal surroundings.
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“Buyer demand is up by 44% compared to a year ago, the highest increase of any part of Britain. The South West has been long-established as a second home hotspot, but has seen renewed impetus from main residence relocators being unshackled from the traditional locations for their daily commute.”
Matt Barry, director at Astleys estate agents in Swansea, said: “We’re now regularly receiving offers from multiple buyers per property. This often results in us requesting best and final offers and homes selling for far in excess of the original asking price.”
Nick Leeming, chairman of Jackson-Stops, said: “There were 18 buyers chasing every listing across our branches in the South West last month as towns and villages which were once out of reach to five-day-a-week commuters now present realistic options for hybrid or remote workers.”
By Brett Gibbons
Source: Kent Live
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