West Midlands property market continues to outperform the rest of the UK
UK’s house prices are now at an average £308,075 as West Midlands property market continues to outperform the rest of the country, the latest figures from Rightmove show.
Asking price of properties across the country rose by 0.8% in May, representing a 1.1% rise over the past 12 months, according to data from the property sale portal.
However, West Midlands, East Midlands and Wales outperformed the UK average and saw strong gains both annually and monthly as demand in these areas remained high.
The West Midlands saw the highest month-on-month asking price rises across the country with an increase of 2.6% to £225,469, while prices were up by 4.3% compared to May 2017. Meanwhile, the East Midlands achieved the top annual property price growth of 4.8%, with a 0.9% monthly uptick bringing prices to an average of £233,266. In Wales, asking prices for homes went up by 1.6% between April and May, and 4.3% for the year, with the average property there now being marketed for an average of £192,422.
While Rightmove has seen a huge surge in interest to its website from prospective home buyers, it also reported that people in general were more hesitant at the moment when it comes to property transactions. Sales by estate agents have decreased by around 5.4% over the past year, with London and surrounding areas the worst hit at 8.5% as different housing markets continue to move at different speeds.
Director at Rightmove, Miles Shipside said that after six years of continual year on year price growth, the current market is becoming increasingly price sensitive, with new to the market sellers being limited to an average asking price growth of just 1.1% over the last year.
This is in spite of there being plenty of historically cheap mortgage products around for buyers who meet lenders’ criteria.
Sellers need to pitch their price at a tempting level to entice buyers, as while there are signs of strong demand, there appears to be hesitation among some buyers to commit.