Estate agents are facing one of the most price sensitive housing markets seen in many years, Rightmove has reported.
Its housing market analyst Miles Shipside makes the claim within the company’s latest house price index, blaming the trend on buyers “understandably looking for value or for homes with extra quality and appeal that suit their needs,” he says.
Rightmove also says PM Theresa May’s announcement last week that Brexit will be delayed until October is good news for the nation’s property market, which is currently in the middle of its traditionally busiest period.
“No doubt there are still a lot of twists and turns to come, but this extension could give hesitating home movers encouragement that there is now a window of relative certainty in uncertain times,” says Shipside (left).
“We are not anticipating an activity surge, but maybe a wave of relief that releases some pent-up demand to take advantage of static property prices and cheap fixed-rate mortgages.”
Demand is already outstripping supply. Asking prices increased by 1.1% during April, the biggest month-on-month increase for over a year.
Nick Leeming, Chairman of Jackson-Stops, says: “With demand currently far outweighing supply, buyers, particularly those in the family homes market, have become frustrated at the lack of new homes coming to market.
“This greater competition has resulted in upward pressure on prices, so it is perhaps not surprising to see today’s data showing a greater monthly price increase.”
The average asking price for a home is now £305,449 and £190,920 for a first-time buyer property.