Asking prices for UK houses are hitting record highs in all nations and regions of Britain, new research shows.
All market sectors are also seeing record fees being asked for – meaning the country is seeing an extremely rare ‘full house’ of rises, for the first time since March 2007.
Across Britain, the average asking price jumped by 1.8% – some £5,983 – in October, according to the property website Rightmove.
That means it has now reached £344,445.
Prices are going up among first-time buyers, second steps on the property ladder and larger family-sized homes – the three categories analysed by the website.
In London, average asking prices now top £650,000, while in the north east, where average prices are the lowest across the UK, the figure is less than £170,000.
Tim Bannister, Rightmove’s director of property data, said: ‘Competition for property for sale remains hot this autumn, with average prices jumping by almost £6,000 in the month.
‘Although more properties are coming to market, the level is still not enough to replenish the stock that’s being snapped up.’
He continued: ‘Consequently, new price records have been set across the board, with every region of Great Britain and all of the three market sectors of first-time buyer, second stepper and top of the ladder hitting all-time highs.
‘This ‘full house’ is an extremely rare event, happening for the first time since March 2007.’
The average price tag on a first-time buyer home has hit £210,672, while property typically bought by someone taking their second step on the ladder reached £315,486.
Larger family-sized homes typically bought at the top of the property ladder topped £630,819.
The average asking prices across various parts of Britain in October, according to Rightmove:
– Scotland, £174,934
– North East, £167,935
– Yorkshire and the Humber, £221,291
– North West, £232,639
– East Midlands, £267,095
– West Midlands, £263,008
– East of England, £396,232
– Wales, £237,830
– London, £650,683
– South West, £359,906
– South East, £458,456
Rightmove added that the number of sales being agreed was up by 15.2% in September compared to the same period in 2019.
Mr Bannister said he believes stock shortages seen after the first coronavirus lockdown last year are set to continue.
The website suggested that demand outstripping supply offers an opportunity for owners looking to sell and cash out if they are downsizing or not needing to buy another property.
Mark Ross, managing director of estate agent Redbrik said: ‘Stock shortages continue to drive prices upwards, though accurate pricing rather than over-pricing is very important to get prospective buyers through the door.
‘We expect prices to continue to rise, albeit at a steadier pace. This should give buyers and sellers more confidence to come to the market as they better understand the less frantic conditions.’
Nick Menzies, area partner for the Robinson Jackson Group, added that buyers should expect competition for properties if they have not already agreed a sale price.
Cory Askew, head of sales at Chestertons, said: ‘Despite the stamp duty tax free threshold (in England and Northern Ireland) having returned to its normal level on October 1, the demand from house hunters hasn’t slowed down.
‘London is seeing a return of office workers and steady influx of international buyers. Sellers have taken note of this and, with a higher demand for properties, don’t feel the need to lower their asking price.’
But Nick Barnes, head of research at Chestertons, said he was expecting limited price growth going forward.
‘The end of the stamp duty holiday and the Government’s furlough scheme will act as a break on buyer demand which will limit price growth going forward.’
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