UK Home Asking Prices Reach Record High, Reports Rightmove

Despite still expensive mortgage costs, home prices in Britain have reached record highs, according to data from property website Rightmove. The average asking price for residential properties climbed to £375,131 ($474,578.23) in the four weeks leading up to mid-May, Rightmove reported.

However, the 0.8% month-on-month increase marked the smallest rise so far in 2024. Compared to the same period last year, prices were only 0.6% higher.

The housing market in Britain slowed last year due to higher borrowing costs but has shown signs of recovery in recent months. Falling inflation has boosted household incomes and increased the likelihood of interest rate cuts.

Tim Bannister, Rightmove's director of property science, noted that the momentum of the spring selling season does not indicate a return to strong demand. "The market remains price-sensitive, and with prices reaching new records in most regions and mortgage rates still high, affordability for many home-buyers is still stretched," Bannister said.

Rightmove also noted that asking prices rose the most in the high-end market, with a 1.3% annual increase.

Paraphrasing text from "Reuters" all rights reserved by the original author.