Asking Prices in the U.K. Reach Record High
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Asking Prices in the U.K. Reach Record High

But growth is slowing despite the new high average listing price.

By V. L Hendrickson
Wed, Sep 22, 2021Grey Clock 2 min

U.K. home sellers have been asking for more for their properties than ever before, but that may be starting to turn around, according to a report Monday from Rightmove.

The average listing price for a property rose to £338,462 (AU$​​637,287) in September, ticking up 0.3% compared to August and 5.8% compared to the same time in 2020, the data showed.

However, this month’s record price is only £15 more than the previous high, set in July, which is “a sign that prices are now stabilizing,” the report said.

Competition among potential buyers remains fierce, however, and has doubled from 2019 levels, according to Tim Bannister, Rightmove’s director of property data.

“While the holiday-starved took their break over summer, the high ratio of buyer demand to properties for sale means that the property market remains stock-starved despite the summer lull lessening overall activity,” he said in the report.

That means home seekers need to have cash in hand or financing secured before they even come to the table to try to land a property.

“In the most competitive market ever, today’s ‘power buyers’ also need to have already found a buyer for their own property, or to have no need to sell at all,” Mr. Bannister continued. “Agents report that buyers who have yet to sell are being out-muscled by buyers who have already sold subject to contract. Proof that you are mortgage-ready or can splash the cash without needing a mortgage will also help you to get the pick of the housing crop.”

South West England saw the biggest annual gain in house prices—9.5% to £353,213—followed by Wales, which saw a 9.4% year-over-year jump to £232,440, the report found. The East Midlands followed with a 9.1% rise in prices to £264,554.

Price growth was slower in London, which registered a 0.8% increase in prices in September, compared to the same time the previous year, the data showed.

Rightmove also reported a 14% rise in new listings in the first two weeks of September compared to the last two weeks of August, a sign of the market starting to normalize.

“This 14% increase in the number of new sellers coming to market in the first half of September is only an early snapshot, but autumn is traditionally a busy period, as those owners who have hesitated thus far during the year see the few months before Christmas as an opportunity to belatedly get their moving plans underway,” Mr. Bannister noted.

Reprinted by permission of Mansion Global. Copyright 2021 Dow Jones & Company. Inc. All Rights Reserved Worldwide. Original date of publication:  September 20.

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Treechangers seeking a home and income should take note of this west coast property in picturesque Pickering Brook in the Perth Hills, which comes with its own live-in residents.

Known as ‘the Margaret River of the Hills’ the area boasts stunning bushland while being just 30 minutes from all the amenity Perth has to offer.

With eight bedrooms and 10 bathrooms, this property is a home and business, operating as a thriving day spa, Hidden Valley Eco Lodges and Day Spa.

The private main residence is made of rammed earth for thermal comfort and has three bedrooms, luxurious bathroom and a large open plan living area. A private jacuzzi on the spacious entertaining deck is the perfect spot for enjoying beautiful bushland views at the end of a long day.

For day spa guests, there are four deluxe spa treatment rooms serviced by qualified staff, a reception area and lounge plus a commercial kitchen. Overnight guests can choose from five lodges with fully equipped kitchen and heated jacuzzi. As a going concern with a consistently high annual turnover, it’s a unique opportunity for the right buyer.

Set over 5.46ha, the property is also home to a very special group of residents: a small herd of alpacas, which are included in the sale.

Price guide: $6.5 million

Inspection: By expression of interest

Agent: Susanne Broido, The Agency 0499 770 237