Rightmove: Average price tag on a home jumped by almost £3,000 in September
The average price tag on a home jumped by nearly £3,000 in September, according to a property website.
Across Britain, the typical price being asked for a home coming onto the market increased by 0.8 per cent or £2,974 to reach £370,759.
September usually sees a month-on-month price jump, but this year’s increase of 0.8 per cent is double the long-term average, Rightmove said.
The strong increase has been driven by a recovery in activity this summer when compared with the much more subdued market at this time in 2023, it was suggested.
Several factors are thought to be giving the autumn housing market a boost.
Mortgage rates have been edging downwards, property choice for buyers has grown, and earnings are now rising faster than both inflation and house price growth, the report said.
There are still uncertainties ahead, including the timing of another Bank of England base rate cut following the recent 0.25 percentage point decrease, and the announcements to be made in the October Budget, Rightmove added.
A ‘window of opportunity’ for buyers
Tim Bannister, Rightmove’s director of property science, said: “The autumn action has started early with a strong rebound in activity from both buyers and sellers compared to the subdued market at this time last year, continuing the momentum from the better-than-expected summer market.
“The certainty of a new Government followed by the first (Bank of England base rate) cut in four years invigorated the market, opening a window of opportunity for movers to act.
“Some of this will be pent-up demand from those who had to hit the pause button until now. However, windows of opportunity tend to need a momentum of good news to stay open, and there are still uncertainties ahead which could cause some of the current market activity to ease.”
Rightmove said the average property is still taking 60 days to find a buyer, which is three days longer than at this time last year, suggesting that buyers are taking their time to find the right home at the right price.
Mr Bannister added: “Homeowners who are thinking of coming to market soon shouldn’t let the increased activity make them over-optimistic and must price competitively to sell.
“With affordability still very stretched for many, choosy buyers are taking their time to browse the increased number of homes for sale and find the perfect home at the right price.”
Jason Dainty, co-founder of estate agent Hopkins & Dainty in Derbyshire, said: “We’re seeing more sellers coming to market, and overall we’re seeing some positive sentiment amongst both sellers and buyers.
“Well-priced and attractive properties are still selling quickly, even getting interest on the first day of marketing. However, the price has to be right – otherwise, they risk being ignored by prospective buyers.”
By Vicky Shaw, PA Personal Finance Correspondent