Mass-market homes have reached new price records, but prices increase as the upper end of the market has slowed down.
FTSE 250 Index down -0.52%, GBP USD up +0.02%
August usually records a slowdown in activity and reducing the price pressure. In 2021, the average price of property coming to market is cooling at the higher end of the market.
The average property price coming to markets declined by 0.3% this month, triggered by a 0.8% decline in the upper-end, typically four-bedroom-plus sector.
The new record price highs in the mass-market sectors consisted of two-bedroom and fewer first-time-buyer-type properties, up 0.6% to £1,328 and three to second-stepper properties up +0.3%.
Tim Bannister, Rightmove’s Director of Property Data, stated new sellers reducing their asking prices can cause alarm in the economy.
Buyer demand remains high despite the relative summer pause, and Rightmove forecasts an autumn recovery in both seller activity and prices. Available stock for sale remains at record lows, with demand averaging up new supply.