LONDON (MNI) – UK homeowners hiked their asking prices by 3.5%
in October, leaving house prices up 1.5% on the year, according to
Rightmove’s latest House Price Index report.
In September prices fell by 0.6% on the month but were 0.7% higher
on the year.
Rightmove described the surge in asking prices as an anticipated
“post-Olympic rebound” and noted that it followed a cumulative “summer
of monthly falls” totalling 4.6%.
The rises were spread evenly across the country, Rightmove said.
It has been anticipated that the Olympics would lead to a slowdown
in house market activity and a subsequent bounceback.
Though new sellers and their estate agents are testing higher
prices, Rightmove said that their research showed that very few segments
of the market could justify higher prices.
Miles Shipside, director and housing market analyst at Rightmove
blamed estate agents keen to attract fresh stock on to their books but
warned that this tactic could backfire if the higher prices put off
potential buyers.
“This month’s jump of more than stg8,000 in asking prices is partly
an anticipated bounce after the Olympic-induced activity doldrums,
though with all regions seeing increases it also provides evidence of
some life in the market”.
“The prospect of a few active selling weeks before the winter
slowdown means estate agents are keen to attract fresh stock to try and
land more buyers. However, this stock-building could backfire if they
agree to over-ambitious pricing to please a seller, as it could curb a
potential buyer’s enthusiasm to arrange a viewing if the over-priced
alarm bell starts ringing.”
–London newsroom: 4420 7862 7492; email ukeditorial@marketnews.com
[TOPICS: MABDA$, MABDS$]
