Double-Dip or Autumn Blip for the Housing Market?By Rightmove Group Ltd, PRNE
Sunday, September 19, 2010
LONDON, September 20, 2010 - The Rightmove House Price Index for September 2010 is released today and
finds that the average asking price for a property in the UK dropped by -1.1%
in the past month to now stand at GBP229,767.
With the current debate about the impact of the Government's deficit
busting measures on economic recovery, this month's statistics from Rightmove
give supporting evidence to those for and against a double-dip in the housing
market. Proponents of a second major plunge in house prices (
www.rightmove.co.uk/house-prices.html) since the start of the credit
crunch will note the drop in new sellers' average asking prices of 1.1% and
the factthat this represents the third consecutive monthly fall. However,
those seeing this as a short term autumn blip rather than the onset of a
serious double-dip, will point out tentative signs of a reduction innew
property coming to the market. This has resulted in average unsold stock per
agent stabilizing after six consecutive monthly rises.
Miles Shipside, director of Rightmove, comments: "The 'double-dippers'
will be able to point to a clear downward trend, with new sellers dropping
their asking prices for three months on the bounce. They can cite tough
competition amongst sellers and agents struggling to find proceedable buyers
for their record levels of unsold stock. Conversely, we are also recording
the lowest weekly run-rate of fresh sellers since April. This will give some
ammunition to those forecasting a flatter price trajectory as it could be an
early sign of fresh supply beginning to wane. However, whether you think we
are bumping along the bottom of a U-shaped recovery or are about to
double-dip into a W, your property (www.rightmove.co.uk/) will need to
tick all the right boxes to sell this autumn".
September's fall of 1.1%, following on from the reverses of 0.6% and 1.7%
recorded in July and August, means that new sellers are asking GBP8,016 less
than those that came to market in June. Nearly half the 7% gains in asking
prices seen in the first half of 2010 have been wiped out by recent falls
and, with the less active months of November and December ahead, national
average asking prices are on course to end the year where they started. Where
they go from there depends on the ongoing balance between supply and demand.
For further statistics and to download the Rightmove September2010House
Price Index please visit -
www.rightmove.co.uk/news/house-price-indexor search for local house
prices at www.rightmove.co.uk/house-prices.html
Rightmove Press Office, email@example.com, +44(0)207-087-0700
Rightmove Press Office, press at rightmove.co.uk, +44(0)207-087-0700
Tags: London, Rightmove Group Ltd, September 20, United Kingdom