Wayne & Silver Estate Agents  _  Hampstead Estate Agents

Why have house prices risen this month?

Published: 05/04/2023

The housing market is busiest at this time of year. Many people who are looking for a home wait until the spring to begin their search, and this is the time of year when more homes start to come on the market.

Because there is more competition for buyers at this time of year, sellers tend to price their properties higher. And as a result, average asking prices tend to increase.

The most recent monthly data on asking prices in England, Scotland, and Wales can be found in the monthly house price index, which allows us to track current housing market trends. The average price for each region is also included.

House prices in Great Britain increased by 0.8% last month to £365,357; this is little less than the 1% monthly average price increase we've observed at this time of year over the previous 20 years. The little lower gain in March implies that some home sellers are being cautious not to overprice their properties in the more stable housing market we are now experiencing.

What if you’re thinking of moving soon?

Buyer demand has increased by 6% when compared to the same period in the 2019 housing market, which is more typical, as more people are preparing to relocate.
As the market rebounds from the turmoil at the end of 2022, it becomes more stable at the start of the spring season.
And these encouraging developments might indicate that people who delayed moving during the extremely active housing market of 2021 and a portion of 2022 are now prepared to do so.

"Some home movers are facing difficulty as a result of rising mortgage rates and other economic concerns. In the previous two years, many experienced bidding battles for properties, but as we approach the customarily bustling spring buying season, this slower-paced market now provides people time to plan and secure their next move,"
Asking us about local market conditions might help you determine the appropriate asking price for your house in the event that you're considering putting it on the market.

First-time buyers are back

First-time buyers were severely hurt by the fallout from September's mini-budget and the rapid, abrupt jump in mortgage rates. However, sales agreements on first-time buyer houses (properties with two bedrooms or fewer) are improving the most out of all property types, when compared to the more typical market of 2019, as mortgage rates have declined from their October peak and begun to level off.

There are various things you can do to prepare yourself if you're planning to purchase your first house. You can look for recent home sales in the neighbourhood where you want to relocate. To determine how much you could borrow with a mortgage, you can use use a mortgage calculator. And if you already have a mortgage in principle in place, you might be able to inspect the house you want to buy before other buyers do.