House Price Update – October 2017
Right Move released their house price index for October 2017. Some of the following facts and figures have been taken from their article. You can view their full report here.
This month, the price of property coming to market is up by an average of 1.1% (+$3,432) compared to the previous month.
Rightmove’s index has recorded an increase in October every year since it began back in 2001. However, this month has seen the largest increase since the 1.4% rise in price in 2014. Despite this, there are more and more sellers that are chasing fewer buyers, meaning that the 104,000 new sellers may struggle to find a buyer before Christmas.
Usually, the average time from first advertising, to being marked as a sale that is agreed by an estate agent is 63 days. This differs depending on the size and location of the house because of the different markets. This is shown by the sector that is made up of 5-bedroom houses can take an average of 76 days to market.
Even worse than this, is these sorts of properties in the London market, where the average time to find a buyer is 86 days. This longer time to sell London’s upper-end properties has ended up influencing overall market activity, causing the London sector to be down by 9%.
A Closer look at the capital
With new sellers’ average time to find a buyer in London being 65 days, and with Christmas 69 days away, which sellers have the best odds of celebrating finding a buyer for Christmas?
More seller activity in the London market this month has helped to create an Autumn Price bounce. This month, the average price of newly-marketed property has risen by 3.1% (+£18,699) compared to the previous month, which is partly due to sellers of more expensive properties coming to market after their summer holidays.
More Sellers have set asking prices of 2.5% below those of two years ago, which gives an accurate reading of how London’s property market has changed and shows that it has become less volatile. This is partly a reflection of more property coming to market compared to a year ago.
In London, the average time to sell a property is 65 days, which is longer than the national average of 63 days. However, the national averages mask a lot of the regional and sectoral variations. Despite this, typical first-time-buyer properties such as hoes with two or fewer bedrooms just undercut the average and only takes 64 days to become an agreed sale.