British home sales hit record after lockdown: Rightmove

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Average asking prices for August were 4.6% higher than a year earlier.

Rightmove noted the number of sales agreed during the month surged to the highest level since its index began over 10 years ago. Both places are seeing record-high sales.

"More home is coming to industry than a 12 months ago in all regions, and at a national level the new source and heightened demand from customers feel rather balanced", he reported. According to a study conducted by the UK's leading property website, Rightmove, instead of a normal slow down during the summer season, there is a significant acceleration in the house sales after the government allowed the property market to start functioning in mid-May 2020 by lifting the coronavirus-induced lockdown.

Whereas there is usually a seasonal slowdown as buyers and sellers turn their attention towards summer holidays, the latest weekly sales agreed figure is a whopping 60% above the same period past year. "The just lately announced stamp duty getaway is another sector accelerator much too, with many buyers and consumers exploiting the price savings that are to be built". The national average monthly drop recorded in the last decade, for this summer holiday season, is of 1.2 per cent.

The RICS monthly house price balance reflected the Rightmove survey with London was the only region to show price falls last month.

Rightmove Director & Housing Market Analyst Miles Shipside said: "Rather than just a release of existing pent-up demand due to the suspension of the housing market during lockdown, there's an added layer of additional demand due to people's changed housing priorities after the experience of lockdown".

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As part of the home moving circle, home-owners are bringing more properties to market than in any month since 2008, giving more choice to buyers.

Hamptons International said private-sector rents in inner London were 8pc lower in July than a year ago as a collapse in foreign tourism and corporate relocation meant property that previously was rented short-term has gone to longer-term tenants. There are 44 per cent more properties coming to market compared to the same period a year ago, though there are considerable regional variations. Observing that the buyers would push for sales completion before the stamp duty holiday comes to an end in March 2021.

"Record levels of buyer activity lead to processing delays and mean that patience is required to get sales agreed to completion", Rightmove said.

"There is real demand to stay in rural spots offering inexperienced room. If you can be in a chain-free position, you are most likely to be taking advantage of the momentum that the market is seeing and not be open to chains breaking further down the line".

Meanwhile, stamp duty tax breaks on housing transactions also push housing sale activity higher, after a lackluster housing market during the lockdown.

Murphy said he expected the market to "remain buoyant", until post lockdown job losses come through and potentially destabilized buyers' mortgage ability.

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