According to estimations made by the UK´s biggest property website, the average price of a home in Britain will increase by 2% over the next year.
Rightmove has expressed the belief that a landslide win for the Conservative Party could get the ball rolling for increased housing activity in the new year.
Throughout Britain, the average asking price in December is £300,025. Although the price is 0.9% lower than the previous month, the decrease is the smallest seen at this time of year since 2006.
The housing market´s long-awaited recovery comes after a stagnant year in which the amount of sales fell by 3% on last year. However, growth of even just 2% means that buyers will have to pay £6,000 more for the average home.
Specifically, London´s spring property market looks better than it has for more than three years due to a combination of political stability and progress on Brexit giving buyers and sellers increased confidence. The average property in the capital costs just over £600,000 according to Rightmove, this is the best result reported in 15 months.
It also appears that we will be entering a seller´s market with enhanced pricing power for those with a property on the market as potential buyers have a lack of choice since the number of properties being sold in the UK has fallen by 8% year-on-year.
Miles Shipside, director of Rightmove, has welcomed the returning certainty of the market following the general election. He said: “The greater certainty afforded by a majority government gives an opportunity for a more active spring moving season, with some release of several years of pent-up demand.”
He continued: “Rightmove measures the prices of 95 per cent of property coming to market, and we predict that buyers and sellers will on average see a 2 per cent rise in those prices by the end of 2020.
“While this is over twice the current annual rate of 0.8 per cent, it’s still a relatively marginal increase as it’s a price-sensitive market.”