Asking Prices at an All-Time High, But Sales Have Dipped

The latest data from Rightmove indicates that the average national asking price has reached another all-time high of £308,075 following a monthly rise of 0.8% (equivalent to £2,343).

The portal reports, however, that agreed sales so far this year are down 5.4% when compared to the same period in 2017.

Despite this, Rightmove is recording record visits but says that uncertainty and stretched affordability continue to dent the sentiment of some prospective buyers and sellers.

The average asking prices in seven of 11 regions reached their all-time high this month - with strong year-on-year price growth recorded in the East Midlands, West Midlands and Wales (all over 4%).

Housing analyst and Rightmove director Miles Shipside suggests that agents need to advise their clients to pitch their properties at a 'tempting level' for buyers as despite strong market demand, there remains a sense of hesitation among prospective purchasers.

Shipside goes on to say that 2014's Mortgage Market Review is having its desired effect and 'limiting price growth with a knock-on effect to sales agreed numbers'.

"While the current lending environment has its downsides, it is there to guard against painful boom and bust scenarios," he says.

"People still need and desire homes, but need their wage rises to outstrip house prices. This has started to happen, but needs to carry on for a sustained period.”