Asking Prices up 1.7% Despite Biggest Jump in Unsold Stock Since 2007By Rightmove Group Ltd, PRNE
Sunday, April 17, 2011
LONDON, April 18, 2011 - Rightmove, the UK's number one property website, publishes its House
Price Index for April today and finds that average UK asking prices increased
by 1.7% over the past month to now stand at GBP235,822.
With average unsold stock per estate agency branch seeing its biggest
monthly increase since May 2007, up from 70 to 74 properties, the decisions
of new sellers to increase asking prices by an average of 1.7% (GBP4,031)
this month look to be over-optimistic. This is a clear indication that the
number of properties available to buy is not being matched by the number of
buyers able to proceed.
Miles Shipside, director of Rightmove, comments: "With buyers still
struggling to raise the necessary finance, the net result has been the
biggest jump in unsold stock on agents' books that we have recorded in nearly
four years. While stock levels normally increase during the first half of the
year, this is a larger increase than normal. With government cuts starting to
bite and interest rate rises still expected in the second half of the year,
those who are serious about selling should look to price more keenly in the
spring selling season".
This month, a weekly average of 28,390 properties came to market, an
increase of 9% on April 2010 and up 28% on April 2009. With the latest Bank
of England mortgage approval figures showing no year-on-year change, buyers'
inability to soak up this increased supply has resulted in the large increase
in unsold stock per estate agency branch.
Estate agents (www.rightmove.co.uk/estate-agents.html) in the
wealthier southern regions are reporting more buoyant market conditions and
sales activity. Buyers are more plentiful in these areas as they tend to have
larger deposits, leading to a continuing shortage of properties in the more
popular locations. London's spring sellers have felt sufficiently confident
to market their properties at a new asking price record this month of
Shipside comments: "While most of the country struggles to sell or raise
deposits to buy, demand from cash-rich buyers in London has meant that
sellers there can ask record prices. This is driven by London's international
status, its preponderance of wealthier buyers, and a shortage of available
land and properties."
For further statistics and to download the Rightmove April 2011 House
Price Index please visit - www.rightmove.co.uk/news/house-price-index
or search for local house prices (
Rightmove Press Office, firstname.lastname@example.org, +44(0)207-087-0700
Tags: April 18, London, Rightmove Group Ltd, United Kingdom