+
UK realty: Home prices surge highest in 10 months
Real Estate

UK realty: Home prices surge highest in 10 months

In Britain, there had been a significant rise in the prices of homes put up for sale, marking the most substantial increase in nearly a year. This increase was attributed to the recovery of the housing market, which instilled confidence in sellers. Particularly, London witnessed the highest surge in demand, according to an industry survey released.

According to the survey conducted by property website Rightmove, asking prices for residential properties had increased by 1.5% in the four weeks leading up to March 9. This surge marked the strongest four-week increase in 10 months. However, despite this rise, prices remained approximately ?5,000 ($6,400) below their peak in May 2023. Comparatively, prices were 0.8% higher than they were a year earlier.

Tim Bannister, Rightmove's director of property science, noted that sellers were justified in feeling more confident and optimistic in the current year. Nevertheless, he pointed out that buyer affordability continued to be strained, and the persistent challenge of higher mortgage rates persisted.

Rightmove's assessment of buyer demand during the period between February 11 and March 9 indicated an 8% increase compared to the previous year, with sales rising by 13% annually. Despite these positive indicators, there were still signs of caution among buyers. On average, sellers took 71 days to secure a buyer, marking the longest duration for this time of year since 2019.

The demand for property in London outstripped that of other regions. This was attributed to people increasingly returning to their offices for work rather than continuing remote work from home. Additionally, home-buyers were encouraged by stronger wage growth and lower inflation rates, as observed by Rightmove.

Following a period of slowdown, the property sector in Britain had regained momentum in recent months. This was partly due to a decrease in mortgage interest rates, as there were expectations that the Bank of England would reduce borrowing costs throughout the year. However, there had been a recent increase in borrowing costs, as investors speculated that the BoE might delay rate cuts until the latter half of the year. Rightmove reported that the interest rate on a typical five-year fixed-rate mortgage had risen over the past five weeks from 4.54% to 4.84%.

In Britain, there had been a significant rise in the prices of homes put up for sale, marking the most substantial increase in nearly a year. This increase was attributed to the recovery of the housing market, which instilled confidence in sellers. Particularly, London witnessed the highest surge in demand, according to an industry survey released. According to the survey conducted by property website Rightmove, asking prices for residential properties had increased by 1.5% in the four weeks leading up to March 9. This surge marked the strongest four-week increase in 10 months. However, despite this rise, prices remained approximately ?5,000 ($6,400) below their peak in May 2023. Comparatively, prices were 0.8% higher than they were a year earlier. Tim Bannister, Rightmove's director of property science, noted that sellers were justified in feeling more confident and optimistic in the current year. Nevertheless, he pointed out that buyer affordability continued to be strained, and the persistent challenge of higher mortgage rates persisted. Rightmove's assessment of buyer demand during the period between February 11 and March 9 indicated an 8% increase compared to the previous year, with sales rising by 13% annually. Despite these positive indicators, there were still signs of caution among buyers. On average, sellers took 71 days to secure a buyer, marking the longest duration for this time of year since 2019. The demand for property in London outstripped that of other regions. This was attributed to people increasingly returning to their offices for work rather than continuing remote work from home. Additionally, home-buyers were encouraged by stronger wage growth and lower inflation rates, as observed by Rightmove. Following a period of slowdown, the property sector in Britain had regained momentum in recent months. This was partly due to a decrease in mortgage interest rates, as there were expectations that the Bank of England would reduce borrowing costs throughout the year. However, there had been a recent increase in borrowing costs, as investors speculated that the BoE might delay rate cuts until the latter half of the year. Rightmove reported that the interest rate on a typical five-year fixed-rate mortgage had risen over the past five weeks from 4.54% to 4.84%.

Next Story
Infrastructure Urban

CJ Logistics’ Global CEO visits India to align growth strategy

Jonathan Song, newly appointed CEO of the Global Business Division at South Korea-based CJ Logistics, concluded a strategic three-day visit to India from July 29 to 31, reinforcing the company’s long-term commitment to the market through its subsidiary, CJ Darcl Logistics Ltd. Mr Song held high-level discussions with the CJ Darcl leadership and key customers to understand India’s evolving logistics needs, identify synergy areas, and enhance business alignment. His visit highlighted the strategic significance of India in CJ Logistics’ global network, especially amid the country’s g..

Next Story
Real Estate

Max Towers secures five star rating in safety audit by British Council

Max Estates, a leading NCR-based real estate developer, has achieved a five star rating in its first attempt at the British Safety Council’s ‘Five Star Occupational Health and Safety’ Audit for Max Towers, its premium commercial office project in Noida. The grading reflects the organisation’s commitment to the continual improvement of its occupational health and safety systems. The comprehensive audit covered documentation, interviews with senior management and employees, stakeholder feedback, and rigorous sampling of on-ground activities. It assessed performance against best prac..

Next Story
Real Estate

India’s Tier 2 & 3 Cities: The Next Growth Frontier for Real Estate

Introduction India’s metropolitan cities have long dominated the real estate landscape, shaping both market trends and public discourse, but the narrative is shifting towards India’s tier 2 and 3 cities. Beyond the metro cities, Tier 2 and Tier 3 cities such as Indore, Ahmedabad, Chandigarh, Jaipur, Coimbatore, Lucknow, Bhubaneswar, Kochi, Surat, Guwahati, and many others are emerging as vibrant real estate hubs. This growth is driven by impetus from rapid urbanisation, logistics corridors like the Delhi Mumbai Industrial Corridor, IT/ITeS investment zones, emergence of global capabil..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?