UK property hits new asking price high – Rightmove

The average asking price for UK properties listed for sale has soared to a fresh high of £377,182 – a robust 1.4% jump, or an additional £5,312, Rightmove says.

The property platform says this is the most significant April uptick in a decade, even as the supply of homes available reaches its highest level in 10 years for this period.

Despite the recent escalation in stamp duty, homebuyers appear to be undeterred.

The house price data indicates that the rate of sales agreements collapsing has stabilised, with many purchasers who narrowly missed the deadline still pushing forward.

Plus, the backlog of buyers finalising their purchases has fallen by nearly 24,000, following a frantic rush to meet the cut-off date.

First house price record

Colleen Babcock, a property expert at Rightmove, said: “We’ve seen our first price record in nearly a year, despite the number of homes for sale being at a decade high.

“The increased choice seems to be bringing more movers into the market, with both buyer and seller numbers up as the market remains resilient.

“Confidence from new sellers is a good sign for the overall health of the market, but they do need to be careful when setting their asking price.”

She adds: “The high level of supply in the market right now means that buyers are likely to have plenty of homes in their area to choose from, and an overpriced home will stick out for the wrong reasons.”

Rise in buyer interest

The housing market is showing strength with a 5% rise in new buyer interest compared to the previous year and a 4% increase in new vendors entering the fray.

However, performance varies across regions with northern and midlands areas, along with Wales and Scotland, celebrating new price peaks.

However, the South East and South West are trailing.

London, too, has achieved a price milestone, though its sustainability is in doubt because of the capital’s vulnerability to global economic fluctuations.

Rightmove also points to the looming influence of President Trump’s tariffs on the UK economy which could pose further challenges – or opportunities.

It says a potential silver lining could be a swift reduction in the Bank Rate by the Bank of England as early as May – which would help boost buyer purchasing power.

Property sector reaction

Nathan Emerson, the chief executive of Propertymark, said: “It is encouraging to witness the housing market continue to deliver growth, despite the increasingly complex economic challenges we face at the moment.

“Although the rush from many people in England and Northern Ireland to beat stamp duty threshold changes has now concluded, we now progress into the spring and summer months, which typically deliver strong momentum for the sector.

“We remain in a position where inflation is on a potential uneven footing, and this may impact any decision the Bank of England might make regarding interest rates when they next meet on 8 May.”

Tomer Aboody, a director of property lender MT Finance, said: “So far this year it has been a positive few months for the housing market with transaction levels improving, although still below pre-pandemic levels.

“This comparatively subdued activity illustrates how big an impact higher interest rates have had on the market and sentiment.

“All eyes are on the Bank of England to see whether there will be a further reduction in May, with any assistance here likely to boost activity now that the stamp duty concession has ended.

“Indeed, buyers may await further reductions before making their move.”

Jeremy Leaf, a north London estate agent and a former RICS residential chairman, said: “Attack is the best form of defence for some sellers.

“In our offices we have also noticed many want to tough out the loss of the stamp duty concession last month, keep asking prices up and letting the market find a new ‘normal’.

“Others are recognising that the inevitable drop in demand must be reflected in a modest fall in prices at least in order to generate viewings and offers.

“That is to say nothing of the impact on confidence due to domestic and international economic uncertainty.

“Fortunately, most are sitting on their hands hoping this will pass, which is helping keep fall-through rates and renegotiations to a minimum.”