UK house prices cool at top of market, Rightmove says

(Bloomberg) – Asking prices for homes fell in the UK for the first time this year as demand slowed for more expensive properties, Rightmove said.

The average value sought by sellers fell 0.3% this month, due to a steeper drop in the number of homes valued at 616,421 pounds ($ 854,000), most reported Monday. the country’s great real estate website. The value of smaller, cheaper homes has hit a record high.

The government has started cutting temporary tax relief on home purchases, which has pushed up prices despite the recession. This disproportionately affected demand for larger homes, where sellers saved the most on stamp duty. Rightmove’s findings confirm other market readings that show slowing momentum after a frenzy to complete deals before the tax break ends.

“Prices have only fallen in the high-end sector, which is generally more affected by seasonal factors such as summer holidays and which has also seen the greatest withdrawal of stamp duty incentives,” said Tim Bannister, Director of Real Estate Data at Rightmove.

Demand from buyers remained strong during the first week of August, up 56% from the same period before the pandemic. Homes are selling at the fastest rate on record, a month faster than before the first foreclosure.

“We anticipate that more properties will come to market when these owners have more clarity on their employers’ long-term balance between working from home and the office,” said Bannister. “If this is to be less restrictive in the long term, it means less need to live close to transport networks and a greater need for work space at home. “

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