The asking prices for homes coming to market in Britain rose by a record 2.3% in February, the biggest monthly increase in 20 years, according to property website Rightmove.

Prices are now 9.5% higher in cost than a year ago, the highest annual growth since September 2014.

This new record means that the average asking price has now risen by almost £40,000 since the pandemic began 2 years ago.

What does this mean for buyers?

These figures show a widening gap between the number of buyers and sellers, meaning demand is exceeding supply, a trend which property experts predict will maintain house price inflation this year.

The shortage of homes for sale could lead to bidding wars and extortionate prices in hotspot areas, intensified by the number of people looking to buy a property rising by 16%.

This is bad news for first-time buyers, who are expected to lose out on buying the few properties that do come to market.

Summary

• Asking prices for homes coming to market in Britain rose by a record 2.3% in February

• This is the biggest monthly increase seen in the last 20 years

• The average advertised cost of a home was up by £7,785 

• This new record means that average asking prices have risen by nearly £40,000 in the two years since the pandemic started

[Source]