Average UK house asking price registers steepest monthly drop for 20 years | Housing market

The average price of the houses for sale, according to a property website, the stamp tax and the last increases in the Council tax in the second houses, after the end of the last increase in July, the largest monthly amount fell for more than 20 years.

The average price requested by new sellers fell 1.2%or 4.531%in July compared to one month ago.

Although there was a seasonal decrease in housing prices at the beginning of the traditional summer holiday season in July, the autumn of this month is the largest monthly price decrease recorded by Rightmove since its index began in 2002.

Property price increases are also limited by the increasing amount of property for sales that have reached the highest level in ten years.

“The most important thing to remember in this market is that price is the key to sales,” said Colleen Babcock, a property expert in Rightmove.

“The highest level of the decade of the ten years means that buyers can quickly detect when they look extremely expensive compared to many other people who may be available in their region.”

The highest decrease in asking prices from new sellers was in London, where they fell 1.5% compared to a month ago and fell by 2.1% in London.

Temporary deductions to stamped the tasks in England and Northern Ireland ended at the beginning of April after Rachel Reeves made in the October budget. Scotland and Wales determined their taxes in home purchases.

The increase in April stamp tax has had a greater impact in London, where real estate prices are higher, and it is thought that the increase in the stamp tax of the properties purchased as investment in the second houses and as an investment has an effect.

In the past, monthly price decreases could be seen as a sign of a slower housing market, but the number of real estate sales is still growing annually and lower prices helps to make home purchases more suitable for buyers.

The average prices from new sellers are only 0.1% higher than a year ago, at a time when lower mortgage ratios increase the receipt of the recipient. In addition, the fact that average wage increases exceed home prices and inflation helps.

While the number of accepted property sales is 5% higher than last year, the number of potential buyers who communicate with real estate agents about houses for sale is 6% higher than one year ago.

Rightmove has reduced its forecast for the increase in real estate prices this year and estimates that it would increase by 2% instead of 4% during 2025.

However, mortgage rates continue to decrease and investors foresee two more interest rates by the UK Bank this year, that is, the appearance of the housing market in the second half of the year continues to be positive.

The average two -year fixed mortgage ratio, according to Rightmove’s mortgage viewer, was compared to 5.34% a year ago, savings for an average price of £ 150 per month for an average price of £ 373,709.