Rightmove’s latest house price index has revealed some interesting trends in the market, and the north west property space continues to outperform much of the UK.
The average asking price in the UK is now £368,231, which is a 0.5% increase on last month’s figure, says the new report from the property portal. While on an annual basis this represents a -0.8% fall, this still leaves UK house prices around 17% higher than they were pre-pandemic in October 2019.
Much of what Rightmove’s report shows is that the market is more steady now than it was in the post-pandemic period, where stamp duty cuts as well as pent up appetite to move and buy created an unforeseen surge of activity. Now, transaction levels are back down to 17% below where they were last year.
But buyers are still in the market for properties that are priced realistically, according to the report. The number of buyers enquiring for each home listed is 8% above pre-pandemic levels, showing that the demand is still present in the market despite the headwinds of high interest rates and affordability barriers.
North west property outperforms
The report also looks at the UK housing market’s performance on a region-by-region basis, and it seems the north west property market is continuing to hold up particularly well. When looking at both monthly and annual property price rises together, the region has the best results.
According to Rightmove, new seller asking prices for north west property increased by 0.9% between September and October, ahead of the UK average of 0.5%. When looking at the year-on-year change, asking values in the region have risen by 1.8%, which again is above the national average.
The average north west property on the market now is valued at £256,275, making it a relatively affordable market when comparing it to the rest of the country. For homebuyers and investors alike, the north west remains an extremely enticing option for those seeking cheaper homes with good capital appreciation prospects.
Another important metric to consider when analysing housing market performance is the average length of time a property sits on the market before being sold. At the moment, north west property is among the quickest to sell, spending an average of 60 days on the shelf.
This is ahead of Wales (66 days), London (65 days), East Midlands (65 days), east of England (63 days), south east (62 days) and the south west (61 days), and on par with Yorkshire and the Humber.
Positives from the index
As Nathan Emerson, Propertymark CEO, points out, the flattening of prices at the moment is something to be expected after such an intense acceleration in the aftermath of Covid, and should actually be welcomed to stabilise the market.
“A decrease in house prices compared to last year is inevitable, natural and needed in order to get back to sustainable and achievable levels since the drastic spike seen over the past couple of years,” he said.
“Our own reports indicate a healthy interest in property with demand and stock levels remaining buoyant, so it is positive that Rightmove reports the same positive trend when compared to pre-pandemic.
“We hope that buyers are looking at the market confidently and continue to find an affordable middle ground. It is proving to be a good time to buy and sell.”
Vendors are also being urged to ensure they are pricing their properties competitively in order to sell, with Rightmove’s data indicating that properties that receive a buyer enquiry on the first day of marketing are 60% more likely to sell.
Ben Hudson, managing director at Hudson Moody in York, added: “Being too optimistic with the asking price causes a double-whammy for sellers– not only do they inevitably have to reduce the price of their home anyway, but they often put off potential buyers with too high an initial asking price and then struggle to recapture this attention when it’s reduced.”
BuyAssociation specialises in connecting investors with the best developments across the country, and has some exciting north west property investment opportunities available at the moment. Get in touch for more information.