Housing Market Update | Delivered from Rightmove

Tim Bannister, Rightmove’s Director of Property Science, has released December’s House Price Index Report. Here are our key takeaways:

New seller average asking prices end the year just 1.1% below a year ago, while sales agreed for the year to date in 2023’s more challenging market are only 13% lower than the same period in the more frenetic 2022.

Prices in seven out of 11 regions are higher than a year ago. The North West leads the way, up by 1.5% compared to last year, while the South East is the worst performer at 3.7% below 2022.

There are signs that the more stable market conditions will see more family movers return, many of whom put their plans on hold due to the mini-budget fall-out and uncertainty last year.

Average mortgage rates have now fallen for 19 consecutive weeks, with the average 5-year fixed mortgage rate now 5.11% compared to 6.11% in July.

Buyer demand in the mid-market, second-stepper sector is up the most against last year’s post-mini-budget period at +9%, while overall buyer demand is up by 6% after some movers paused to wait for calmer conditions.

Sellers still need to price more aggressively than their local competition to secure a buyer, especially those with a pressing need to sell. While current trends suggest that the mortgage market will be more stable, interest rates are likely to remain elevated next year, continuing to put pressure on buyer affordability.

Continue the conversation around how this has impacted the value of your prime property by speaking with us on 02038111401 or emailing us at sales@primeandplace.com