New sellers showing “pricing restraint” amid high competition
House price growth slowed in February, according to Rightmove.
The property website said the average house price in England was 0.5% up in February compared to the previous month, down on the 1.7% monthly growth seen in January.
A spokeperson for Rightmove said this month’s slower growth is the result of high seller competition ahead of the stamp duty relief removal deadline, with the number of new sellers coming to market up 13% from this time last year, while buyer demand is 8% higher.
House prices have also slowed on a year-on-year basis. Prices increased 1.4% in February compared to the same month in 2024, down from 1.8% in January.
Colleen Babcock, property expert at Rightmove said: “New sellers are showing some pricing restraint after a fast start to the year, being mindful of both the high level of seller competition, and in England also of the looming stamp duty deadline and extra costs for some buyers.
>See also: House prices up 0.7% in January following pre-Christmas dip
Stamp duty changes were announced in the Autumn Budget, including the removal of temporary reliefs for first time buyers in England and Northern Ireland in April.
The national average asking price (excluding inner London) for the kind of property typical of a first-time buyer purchase was £226,887 in February, a slight 0.1% decrease from the previous month.
Meanwhile, the number of available homes for sale continues at a 10-year high, with January being a record month for applications for a mortgage in principle on Rightmove, 49% more than in January 2024.
Scotland has seen the highest month-on-month house price growth in Britain at 3.5%, while property costs in Wales went down by 2.7%.
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