Rightmove House Price Index June 2021

The Rightmove House Price Index June 2021 is showing us perhaps the first signs of a slow down in the recent property price boom.  According to Rightmove, “the market still frenetic but early signs of slowing due to record prices and lack of choice” and the asking price of new property listings rises by 0.8%.

Interestingly, Rightmove says that the cash rich people able to relocate are fuelling asking prices in areas like Wales where prices are up 14.6% since March 2020 and with buyer demand up 44%.  The Southwest too has seen a big jump in prices with Rightmove reporting an increase of 11.4% and properties selling at the fastest rate recorded.

However, the report does temper things as “high prices combined with an all-time low in the number of available properties on agents’ books are starting to slow the market’s frenetic pace, with sales agreed in May 17% ahead of same period in 2019, slackening from April’s +45%” they say.

Overall, national average asking prices are at £336,073 (up from £333,564 in May 2021) which is an increase of +7.5% on June 2020.

Overall, national average asking prices are at £336,073 (up from £333,564 in May 2021) which is an increase of +7.5% on June 2020.

“…early signs of a slowing in the frenetic pace”

Tim Bannister, Rightmove’s Director of Property Data comments: “Buyer demand remains very strong, though with an all-time low in the number of properties available for sale on estate agents’ books and new stock at higher than ever average prices, there are early signs of a slowing in the frenetic pace.

Since the market re-opened last May in England we have seen huge jumps in the numbers of sales being agreed, but these are now rising at a slower pace. Record low interest rates and stamp duty tax reliefs have helped many to afford higher prices, satisfying their pent-up desires for a new home fit for a new era. Some of that demand has now been met, and the phasing out of stamp duty reliefs has also taken away some of the urgency to move, though our high traffic and search data indicate that there is still strong buyer demand.”

“… while we expect the market to remain robust, there are early signs of a slackening in the incredible pace of activity that we’ve seen over the last year. This super-charged activity cannot go on forever, but we expect the market to remain vigorous for at least the remainder of the year.”

You can read the full Rightmove House Price Index June 2021 here and to compare property development finance simply click here!

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