After its busiest month on record, Rightmove has reported the highest ever asking prices, driven by increasing demand and dwindling supply.
Rightmove has reported the average asking price for a property has now hit £286,133, a new all-time high.
The property portal has put the rise down to increasing demand and a slump in properties being put up for sale, which has only made the property shortage in many areas of the country worse.
Its effects across the country
Unsurprisingly, the South has been hit the hardest by price rises.
Property being put on the market in the South is up by an average of nearly £85,000 (+27.5%) since the last General Election in May 2010.
It’s most evident in London, which has seen an increase of £195,420 (+49%) in asking prices in the past five years. The South East has also been having affordability issues with new seller prices up by £62,105 (+20%).
However, the North has seen prices rise by just £6,374 (+3.7%), meaning that it’s falling behind the rate of inflation.
As a whole, the UK has seen an increase of almost 5% in asking prices since this time last year and a substantial 1.6% increase in the past month.
Here’s how asking prices have fluctuated over the past 12 months.
|
Month |
Asking price change |
|
April 2014 |
2.2% |
|
May 2014 |
2.1% |
|
June 2014 |
1% |
|
July 2014 |
-0.6% |
|
August 2014 |
-2% |
|
September 2014 |
0.9% |
|
October 2014 |
1.4% |
|
November 2014 |
-1.9% |
|
December 2014 |
-2.2% |
|
January 2015 |
1.4% |
|
February 2015 |
2.1% |
|
March 2015 |
1% |
|
April 2015 |
1.6% |
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The property forecast
Leading political parties have prioritised housing in their manifestos in the run-up to the General Election, so whoever wins will likely have a significant impact on the housing market.
[SPOTLIGHT]For example, the Conservatives announced last week that they would extend the Right to Buy scheme if they get re-elected. The news has been met with a heavy dose of criticism.
For more read General Election: what your vote means for your money.
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