You are here: Home - News -

Stock drop in the North drives asking prices to new record high – Rightmove

by:
  • 18/06/2018
  • 0
Stock drop in the North drives asking prices to new record high – Rightmove
Average UK asking prices in June jumped to a new record high for the third month in a row, data showed.

On a yearly basis, prices rose 1.7%, accelerating from 1.1% the previous year, according to property website Rightmove.

On a monthly basis house prices advanced 0.4%, or £1,364, to reach £309,439, against 0.8% rise in May.

However, market conditions vary significantly between the north and south.

Indeed, strong buyer activity in northern regions has shrunk available stock levels by an average of 4.3% when compared to a year ago. This has restricted buyer choice and given sellers upwards pricing power, Rightmove said.

On the other hand, the less active southern regions all have more available stock, up by an average of 17.5% compared to a year ago.

 

Regional variation

By region, Wales and Scotland have the greatest drop in available stock, with 10.3% and 10.4% fewer properties for sale compared to a year ago, respectively.

Yorkshire and the Humber has 6.3% less choice for prospective buyers than a year ago, with the North West seeing a drop of 4.1%.

The North East and the West Midlands have smaller decreases in available stock, with -2.3% and 2.2% respectively. The only northern region to see an increase is the East Midlands with a 4.0% uplift.

All southern regions have seen a stock increase compared to a year ago, indicating more challenging market conditions.

The East of England has 24.9% more properties up for sale, and the South East has 20.0%. London has a smaller increase of 16.4%. The South West completes the southern stock picture with an 8.2% increase in available stock.

Miles Shipside, Rightmove director and housing market analyst, said: “Sales agreed by estate agents overall in May have bounced back from a slower start to the year and while still slightly below May last year they are ahead of 2016. This is a pleasingly strong flourish at the end the spring selling season given the political uncertainty and stretched buyer affordability.

“The reduction in property choice for buyers in the north compared to a year ago is a result of property for sale being snapped up, meaning it’s more of a sellers’ market there. In marked contrast the jump in buyer choice in all southern regions shows there are signs of a sellers’ market in some areas.

“With the year at mid-point the 2018 summary so far is that the chances of sellers finding a buyer in the northern regions seem to have held up very well against the previous year, but market conditions are clearly more challenging for sellers in much of the south.”

There are 0 Comment(s)

Comments are closed.

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
FCA not showing enough ‘urgency’ to help mortgage prisoners – MPs

The financial industry regulator has been accused of a lack of urgency in helping borrowers trapped on costly mortgage deals.

Close