House prices boom due to shortage of homes for sale
New figures from property market analysts Hometrack show property prices in most of the UK’s top 20 cities have increased by up to 7% in a year, boosted by the increasing shortage of properties coming to the market in early 2018. The figures show that property prices in Birmingham, Edinburgh, Leeds, Manchester, and Nottingham increased by 7% year-on-year, while Cardiff recorded gains of 5.6% compared to the same period in 2017.
In contrast, London only recorded an increase of 1.6% year-on-year, while Cambridge and Aberdeen both recorded a fall in house prices, by 1.2% and 6.9% respectively. What’s more, the figures show that properties in London took the longest to sell at just over four months on average.
Average property prices across the country
The figures from Hometrack show that across Britain’s 20 biggest cities, the average cost of a home has increased by around 2.9%, up to £254,000 in the last quarter. The average cost of a property in London still remains the highest figure at around £490,900, but popular cities such as Edinburgh, Nottingham, Manchester, and Birmingham have recorded noticeable rises, up to £229,200, £148,500, £162,000 and £157,200 respectively.
Cardiff has seen property prices rise by 5.6% in the past twelve months, and today’s buyers across the city can expect to pay around £199,600 for a property.
Hometrack has said that it expects house prices across London to continue to post a modest fall in real terms over the next 2 years, due to a realignment of what buyers are prepared to pay. They continued to say that there are some early signs that sales volumes could start to stabilise in 2018 as a result of more realistic pricing.
12 buyers for every property
The figures from Hometrack were released alongside new figures from estate agent group haart that suggests that interest from potential buyers across England and Wales has increased by 22% in the past 12 months. What’s more, the number of new homes coming to the market has increased by just 6.5% over the same period. This means that across England and Wales, there are around 12 potential buyers fighting for every property that comes to the market.
Haart also revealed that interest from first-time buyers is also rising, with estate agent registrations for first-time buyers increasing by 24% over the past 12 months. Finally, haart revealed that first-time buyers spend on average £172,852 on properties in England and Wales.
Paul Smith, chief executive of haart, said that those people considering selling their property should do so now, before the ever-closing gap between stock and demand narrows significantly.
If you’re looking to buy or sell a property in Cardiff, we can help. As one of Cardiff’s largest estate and letting agents, we have the experience and knowhow to ensure you get the best deal, and can help you along the entire buying and selling process. To find out more, get in touch today on 02920 454555, email: roath@cpshomes.co.uk, or pop into one of our three Cardiff branches in Roath, Cathays, and Cardiff Bay.
The information contained within this article was correct at the date of publishing and is not guaranteed to remain correct in the present day.
