In February, the UK property market witnessed a modest increase in new seller asking prices, according to data from Rightmove. The rise of 0.9%, equivalent to £3,091 in monetary terms, brought the average asking price to £362,839. This uptick follows the typical seasonal trend expected for this time of year.
Comparing year-on-year figures, average prices have edged up by 0.1%, indicating a reversal from the consistent annual declines observed since August 2023. This shift suggests a potential strengthening of market conditions.
Early indicators for the year are promising, with the number of agreed sales in the first six weeks of 2024 surpassing last year’s figures by 16%. This suggests a positive sentiment among buyers, who perceive favorable conditions and are eager to make moves.
However, it’s worth noting that the market remains sensitive to pricing. Properties accurately priced tend to attract buyers swiftly, whereas those with inflated price tags may linger on the market, potentially missing out on the bustling spring moving season.
Tim Bannister, from Rightmove, commented on the current market dynamics, stating:
“We anticipated that February would be a crucial indicator for the year ahead. The question was whether the Boxing Day bounce in buyer activity, witnessed by Rightmove, would sustain momentum into March or falter.
“It’s clear that the former has been the case, with the number of sales agreed continuing to outpace last year’s figures significantly. Early buyers who capitalized on the abundance of new property listings are now joined by others who also see 2024 as an opportune time to make their move.
“Despite some fluctuations, mortgage rates have generally trended downwards, providing additional impetus for prospective buyers. However, sellers should exercise caution and ensure their asking prices are attractive, considering the lingering price sensitivity among buyers and the slightly elevated mortgage rates.
“For sellers serious about making a move this year, now is an opportune time to leverage increased buyer confidence by pricing competitively before any potential market uncertainties arise.”
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