The average asking price in the UK hit an all-time high of £327,797 after a whopping 2.1 percent leap in just a month. The new figure surpasses the previous record by over £4,000 which was in October 2020. However, buyer demand is still outweighing supply despite 145,000 properties being newly marketed this month.
However, Rightmove said it seems likely that once these initiatives come to an end, the property market will remain “robust” for the rest of 2021.
Tim Bannister, Rightmove’s Director of Property Data said it’s a “big jump” considering the country has been in lockdown.
He continued: “This is only the second time over the past five years that prices have increased by over two percent in a month, so it’s a big jump, especially bearing in mind that the lockdown restrictions are still limiting the population’s movements and activities.
“The property market has remained fully open, and is fully active to such an extent that frenzied buyer activity has helped to push the average price of property coming to market to an all-time high.
“The stars have aligned for this spring price surge, with buyers’ new space requirements being part of the constellation alongside cheap mortgages, stamp duty holiday extensions in England and Wales, government support for 95 percent mortgages and a shortage of suitable property to buy.
“There’s also growing optimism due to the vaccination roll-out, which is helping drive the momentum for a fresh start in fresh surroundings.
“It does mean that this spring’s buyers are facing the highest ever property prices, though with properties selling faster in the first two weeks of April than ever previously recorded by Rightmove at an average of just 45 days to be marked by the agent as sold, it seems that those buyers are not deterred.
“Almost one in four (23 percent) properties that had a sale agreed in March had been on the market for less than a week, which is also the highest rate that we’ve ever recorded.
“If you’re looking to buy in the current frenetic market then you need to be on your toes and ready to move more quickly than ever before.”
Rightmove said April 7 saw a record set with over 9.3 million visits to the site.
Mr Bannister said now is a “good time” to come to the market and get a good price and quick sale.
Richard Freshwater, Director at Cheffins said this is the biggest lack of stock they have seen on the market in at least 20 years.
He added: “Demand is huge, created by a perfect storm of low interest rates, the stamp duty holiday and changes in people’s working patterns.
“The dreary five day a week commute for many is now over, and this has led to areas outside of London becoming some of the most in demand.
“On average, every house we put on the market at the moment sees over 40 requests for viewings, all from buyers who are in the position to move.”