Cutting through the jargon - May House Price Index

For the fourth consecutive month, Rightmove is reporting an all-time high in their May House Price Index, with property prices up by an average of 2.1% (+£7,400).

This fourth consecutive price record comes along with the fourth consecutive interest rate rise. However, despite the rise in interest rates and the cost of living increasing, buyer motivation does not appear to have declined with sales agreed up 12% compared to the same period in 2019.  

Although the property market has remained busy during the first quarter of the year, there are early signs that it is beginning to ease. So if you were previously nervous about the frantic pace of the market- don’t worry! 

What does this mean for sellers?

As the market continues to move at a relatively fast pace, the average time to sell your home has reached a national record low of 31 days, with Yorkshire and The Humber one day lower still at 30 days.

If you are thinking about moving, being prepared for a quick sale will be a definite advantage. The most important thing to consider is that buyer demand is still high, resulting in a fantastic opportunity to get the best price for your property.  

Rightmove’s Tim Bannister said: “What the data is showing us right now is that those who have the ability to do so are prioritising their home and moving, and the imbalance between supply and demand is supporting rising prices.”

Put simply this means that the shortage of properties on the market, together with continued high buyer demand is dictating the pace of the market. Currently, we are seeing that the stock we need most is in the mid-market so if you own a two or three-bedroom semi-detached property, now is a fantastic time to come to market as this is where we are seeing the most competition between buyers.

Want to sell but haven’t booked your valuation yet? Make your appointment with your local Redbrik team online here.

 And for buyers?

With house prices higher than ever, combined with increasing interest rates, it’s not only important to think about the amount of money you will need for your deposit, but also how much your mortgage payments are likely to be.

If you are a solo first-time buyer preparing to make your first purchase, you are still within one of the strongest buying positions on the market.

Our partners Connect Financial Solutions are also on hand to provide you with bespoke advice and help you step-by-step through the mortgage process, assessing your unique situation. 

Get in touch with Connect Financial Solutions for more information and advice: https://connectfinancialsolutions.co.uk/