Prices rise but election effect kicking in - Rightmove

The one per cent rise in asking prices announced today by Rightmove is the smallest increase at this time of year since 2012 according to the portal.

It says the average asking price this month - £281,752 - is still a fraction below the portal’s highest recorded average, back in June last year. 

“The distraction and uncertainty of an election typically force sellers to price more keenly, though this is often short-lived. The MMR introduced in April 2014 laid out a much needed longer-term framework for responsible lending, but within a year its dampening effects have been muted by high demand outstripping supply in many locations, and by buyers putting down larger deposits” says Miles Shipside, Rightmove’s resident analyst and commercial director.

“With new-build levels remaining low and only a small increase in properties coming to market compared to last month, the supply side is still a critical but missing part of the jigsaw if pent-up demand is to be satisfied” he says.

Other key data from Rightmove includes:

- first time buyers pay an average of £169,414 (up 7.6 per year-on-year)

- average properties for sale per estate agent 59 (58 a month ago)

- average number of says to sell 79 (87 a month ago)

- prices falling in London boroughs of RBK&C, Westminster, Richmond and Barnet.

http://www.estateagenttoday.co.uk/index.php?option=com_k2&view=item&id=2125:prices-rise-but-election-effect-kicking-in-rightmove&Itemid=583