UK house price rise hits 11-year high as buyer demand picks up

Over the past month, the average price of a UK property has increased by 1.5%, or £4,503, according to the latest Rightmove data – the highest price jump seen at this time of year since 2007.

The latest upturn in house prices across the country, which has hit new record levels in four out of 11 regions in the UK, has been partially attributed to the fact that there are 5% fewer homes being put up for sale than there were this time last year – along with an influx of buyers joining the race to benefit from first-time buyer stamp duty savings and the current low interest rates before future base rate rises.

Performance by region and buyer

Year-on-year, prices across the country went up by an average of 2.1% in March, compared to 1.5% in February. By region, after Wales, the biggest annual house price increase was seen in the West Midlands, which registered a 5.1% rise to £219,941, followed by the north-west at 4.7%, bringing the average property price there up to £189,900.
[crb_image link=”” image=”” align=”left”]
First-time buyer house prices have reached their highest level at £189,840 this month after a 1% rise from February and a 2.2% rise over the past year. For second-steppers, prices have gone up by 1.2% since last month and 3% since last year, with the average home now priced at £272,031 – another all-time high, according to Rightmove.

Miles Shipside, director at Rightmove, said: “It remains to be seen if this month’s 11-year price rise high for March is a catch-up anomaly after two more subdued price rise months, or an early sign of price pressure building up a real head of steam as we enter the spring market.”

Affordability is stretched

He added: “Either way, sellers need to be mindful of increasingly stretched buyer affordability, and the more they increase prices the more buyers will hit their ceiling on the amount they are able to save for a deposit and borrow for a mortgage.

“There does however still seem to be potential price headroom in parts of the country, especially in some of the regions in the north, and in the more mass-market sectors.”

In London, there were 3% less properties on the market than in March last year as sellers remain cautious in the current climate. Although March saw a monthly uplift of 0.6%, bringing average house prices to £631,651, year-on-year the market was down by 0.6% overall.

First-time buyers in London have seen average prices in their bracket rise by 0.5% to £491,943, which is only just below the £500,000 cap in the capital’s stamp duty relief level. At the other end of the scale, “top of the ladder” properties in London saw their values rise by 3.3% in the month to March, up to almost £1.5m.

Self-certified Sophisticated Investor

Please read

I declare that I am a self-certified sophisticated investor for the purposes of the restriction on promotion of non-mainstream pooled investments. I understand that this means:

I am a self-certified sophisticated investor because at least one of the following applies:

I accept that the investments to which the promotions will relate may expose me to a significant risk of losing all of the money or other property invested. I am aware that it is open to me seek advice from someone who specialises in advising on non-mainstream pooled investments.

High Net Worth Investor

Please read

I make this statement so that I can receive promotional communications which are exempt from the restriction on promotion of non-mainstream pooled investments. The exemption relates to certified high net worth investors and I declare that I qualify as such because at least one of the following applies to me:


Sign up for first access to new developments and exclusive property investment opportunities.

We send limited and targeted emails on new launches and exclusive deals which best fit your areas. We are trusted by over 30,000 active buyers as their source for new stock.

  • New property developments
  • Professional market reports
  • Property deal alerts
  • Development updates
Manchester property investment


Receive trending news straight to your inbox and stay up to date on all of the property market trends and advice.

Established since 2005 we are a leading voice of authority and commentary on the UK property market. Our news is trusted by Apple News & Google News.

  • UK housing market
  • Mortgage & money
  • Buy-to-let landlords
  • Guides & advice

Talk to us

Speak to our UK property experts today:


+44 (0) 333 123 0320

Open from 9am-6pm GMT


+852 6699 9008

Open from 9am-6pm HKT