Average asking prices for newly-listed properties saw a 0.7% increase in September, rising by £2,441 to an average of £367,440. This marks the first monthly increase since May and is slightly above the average September rise of 0.5% over the last decade, according to Rightmove.
Despite this rise, asking prices remain 0.8% lower than a year ago and 2.3% below levels at the start of summer. The market is experiencing an autumn bounce, with buyer activity picking up after the holiday period, though demand is weaker than last year, with buyer enquiries and agreed sales both down by 9% year-on-year.
The total number of properties available for sale has reached a 12-year high, creating a competitive market. Rightmove property expert Colleen Babcock noted that sellers face "stiff competition from a 12-year high number of other homes for sale."
Getting the initial asking price right is increasingly important, with 74% of properties sold this year not requiring a price reduction. Overall, 61% of homes find a buyer, down from 74% in 2021. Success rates vary regionally, from 91% in Scotland to 42% in London.
Affordability remains a constraint, with the average two-year fixed mortgage rate rising from 5.09% to 5.29% in the past month. This increase has added approximately £180 to the average monthly payment on a new mortgage.