The property market has found more stability in recent months, with house prices on the rise this year.
The latest House Price Index from Rightmove released today shows prices have continued to increase and selling times have dropped. However, buyers and sellers have been warned this could cause sales to fall through.
The average property price has increased 1.1 per cent and now sits at £372,324. This is only £570 short of a record high from May last year.
This is driven largely by “top of the ladder” properties, like large family homes, as these now cost an average of £682,661 – up more than £18,000 on March 2024.
Properties are selling more quickly
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Both buyers and sellers have increased activity and houses are selling more quickly than before.
Speaking on the report, co-founder of Home Sale Pack Ruth Beeton said: “As buyer demand continues to climb, so too has the asking price expectations of the nation’s sellers.
“However, the real positive to take is that, at 64 days on average, homes are selling at their fastest since November, indicating just how much buyer appetites have improved.
“In fact, the average home is selling 18 per cent faster than in January alone and that is the factor to watch here as faster sales mean even higher prices in the coming months.”
However, the expert warned faster selling prices could mean there is a higher risk of sales falling through and she urged buyers and sellers to be wary of this.
Ruth continued: “The downside is it also means an increased chance of fall throughs as the industry struggles to cope with the increasing strain placed on the archaic conveyancing process, in particular.”
Rightmove’s director of property science Tim Bannister weighed in on the research.
He said: “The top of the ladder sector continues to drive pricing activity at the start of the year, with movers in this sector typically less sensitive to higher mortgage rates, and more equity rich, contributing to their ability to move.
“While some buyers, across all sectors, will feel that their affordability has improved compared to last year due to wage growth and stable house prices, others will be more impacted by cost-of-living challenges and stickier than expected high mortgage rates.
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Sales could be at higher risk of falling through
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“Despite these factors, it has been a positive start to the year in comparison to the more muted start to 2023. However, agents report that the market remains very price-sensitive, and despite the current optimism, these are not the conditions to support substantial price growth.
“Sellers who are keen to secure their sale will still need to price realistically for their local market and avoid being overambitious at the start of marketing to give themselves the best chance of finding a buyer.”
This comes as a property expert shares advice for those looking to sell. He explained simple DIY updates can boost the value of your home.
Britons can increase the value of their homes by making small home improvements.
According to estate agents at Preston Baker, a front door update could make all the difference when it comes to impressing potential buyers at in-person viewings. The experts claimed that tidying it up and having a declutter could “get you more for your property”.
The estate agents said: “You have two opportunities to make a first impression when selling your home, but you need to get the first one right in order to get the second.
“Your first impression will be your property listing, essentially the advertisement you have showcasing your house. This digital showcase of your property is usually the first chance potential buyers will have to see your property, so everything about your property listing needs to be spot on.
Britons have been given a top tip for selling their homes
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They continued: “Your next impression comes when they view the property in person.”
Because the front door is one of the first things a potential buyer sees – directly after the street and the outside of the property – the condition of it is important. Don’t put them off before they step inside your home.
The experts said: “The front door can be an opportunity for the buyer to pause as they wait for the door to be answered. A pause gives them a chance to cast a critical eye.”
They advised sellers to ensure their front door is clean and “free from peeling paint”.
They added: “If it has windows, make sure they are clean.” The home improvement experts at KJM added that it’s worth considering your existing windows, as “ugly” ones have “clear potential to put prospective buyers off”.
The estate agents continued: “Do not have clutter around your front door, though a doormat gives the impression that you care about the property. Make sure the external doormat is in relatively new condition.”
Once a prospective buyer steps through the door, it’s important that they are equally pleased with the overall experience of the entrance and hallway.
The experts said: “Staging a home starts with the entrance if you have an external porch. Declutter this area and make sure it is clean.
“Having a pair of shoes in there is fine – it gives the impression that this area is useful. However, 14 pairs of shoes jumbled on top of each other just gives the impression the house is cramped, before they even have a chance to get into the property.
“As the buyer goes through the door into your property two things will hit them: what it looks like and what it smells like.”
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The property experts recommended: ‘If it has windows, make sure they are clean’
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To ensure your entrance and hallway look their best before inviting prospective buyers, the expert recommended decluttering and having a clean-up.
They said: “If you have coat hooks, make sure to move your coats somewhere out of sight. If your stairs lead away from your front door, do not use your banister to hang coats or clothes.”
The experts’ next tips were slightly more time-consuming but just as critical. If your walls are on the dark side, they may need a repaint.
They said: “Make sure walls are light in colour and carpets are clean, as it’s important the hallway looks as large as possible.”
As for smell, a few savvy hacks will give any home a beautiful aroma. Homeowners can bake some bread before a viewing, or if they don’t have time to bake, they can create the same smell by placing a small amount of vanilla essence in an ovenproof dish and heat in a warm oven – ensuring they do not let either option burn. The experts added: “Another alternative is to brew freshly ground coffee.”
Regarding pets, these should be out of the property for 24 hours prior to house viewings, so homeowners have time to remove their bedding and have the windows open to freshen the property.
According to one property expert, painting your door a sophisticated colour could help sell it fast.
Opinions expressed by Entrepreneur contributors are their own.
News services, including The New York Times, are spreading misinformation about the recent National Association of Realtors settlement. These news organizations said that the N.A.R. agreed to slash agent commissions — but that is flat-out not true. Watch my embedded video below to understand the details of the settlement and its actual impact on the real estate industry.
Takeaways of the National Association of Realtors settlement
The truth is that N.A.R. settlement comes down to the fact that it decided to separate buyer and seller commissions.
Under certain circumstances, the cost of buyer representation could be shifted to the buyer. And, as we all know, the buyer (who is bringing all of the money to the transaction) is the person who can least afford to pay a commission in the transaction. But it doesn’t mean that buyers don’t need representation.
Related: How to Make Money in Real Estate — 8 Proven Ways
A home buy for most families is the most expensive and most important financial decision they will make in their lifetime. Highly skilled realtors will get paid exactly what they’re worth. The market will reward realtors who add significant value to the transaction, Those realtors who add little value will get little compensation or be put out of business altogether. (Which at the end of the day, I don’t think that’s a bad thing.)
Here’s my synopsis of the settlement, which is likely to take effect in mid-July 2024:
- Buyer Representation Agreements will be required for agents showing homes listed on the Multiple Listing Service (MLS).
- Sellers can still offer compensation to the buyers’ agent but it cannot be specified in the MLS. It can be advertised to the public elsewhere.
- Agents must make commission disclosures, including the disclosure that commissions are not set by law and are fully negotiable.
The net effect is that buyers will have to specify in the contract the amount they are willing to pay an agent to represent them.
Sellers may feel that it is important to offer buyer’s agents compensation to incentivize agents to show their properties, maximum exposure, and the highest price possible.
Related: These Real Estate Trends Are Set to Change the Market Forever
Although MLSs are prohibited from publishing what a seller is willing to pay toward the buyer agent’s compensation, the settlement allows brokerages and their agents to publish seller-approved compensation offers for their own listings (but not other brokerages’ listings) on their websites, in emails, texts, and other communications.
I do believe that buyer agents will have to demonstrate far more expertise to justify their compensation. This change will drive more buyers to the seller’s agent. That agent has a duty to negotiate for and represent the seller. More dual-agency (one agent representing both seller and buyer) will take place, and more litigation will ensue from this conflict of interest.
The UK has seen one of the biggest days of listings since 2020, according to property website Rightmove.
Britons flocked to list their homes right before the Easter bank holiday, new data has shown.
Thursday March 28 was the biggest day for listings this year, and had the third biggest number of new property listings since August 2020 – beaten only by Boxing Day in 2022 and 2023.
Rightmove saw 45 per cent more homes were added on that date compared to the previous Thursday.
Homeowners have flocked to list their properties
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Property prices fell 0.2 per cent across the UK month on month in March, but a number of regions saw house prices increase.
Overall, the housing market has been much more stable than in the last couple of years and many homeowners could be gearing up to sell as they prepare for the summer months.
Rightmove’s property expert Tim Bannister said: “A huge number of new sellers came to market as we all geared up for the Easter break, all hoping to capture the attention of those buyers using the long weekend to home hunt alongside their Easter egg hunts.
“It’s still a price-sensitive market, so, while the uptick in activity we’ve seen over the past few months is a positive sign, sellers still need to heed the advice from their agent on pricing competitively to help secure a successful sale.”
Chief executive of property professionals’ body Propertymark Nathan Emerson added: “It’s encouraging to now see people once again finding the confidence and affordability to power their next move.”
This comes as research found some buyers have started to increase their budgets in their property search. Property firm Savills found 15 per cent of people on its client database are now willing to spend more, with the size of a property and the number of rooms the biggest priorities.
Those who are looking to sell their property could benefit from expert tips that promise to boost the value of a home.
Some buyers have increased their budgets
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This could involve converting into a House in Multiple Occupation and renting out the rooms. A home that is registered to rent out could be more valuable, the expert claimed.
They added a loft conversion could add as much as £300,000 to the value of a property, depending on the area and property price to begin with.
They stated a loft conversion can cost around £50,000 but bring a huge return in many cases.
Britons will want to get the best price when selling their home and making a property more valuable does not need to take long.
While property prices are making a recovery in many parts of the UK, it is still worth completing a few simple tasks to make your home more appealing to buyers.
Jobs like giving the home a quick spruce and fixing anything that is broken can add thousands to the value of your home, according to property expert and founder of House Buy Fast Jonathan Rolande.
He said: “Addressing minor issues that often go unnoticed in day-to-day living – such as broken door handles, bathroom cord replacements, carpet threshold repairs, dead plants, wall stains, and faulty light fixtures – can increase the property’s value by around £2,000.”
Cleaning a home inside and out can make it more valuable
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Making minor repairs around the house takes no time at all but can add a lot of value to a property. Cleaning the home before a viewing can also make buyers more likely to reach deep into their pockets.
Jonathan continued: “Despite its mundane nature, this job is frequently overlooked by home sellers. Ensuring every item has its designated space and each room serves a clear purpose can create an illusion of spaciousness and warmth.”
The property expert suggested this could add a further £2,000 to the value of your home as it can help buyers visualise themselves living there.
Getting the inside of a home up to scratch can help it sell for the best possible price, but homeowners should not underestimate quick touch-ups outside.
Potential buyers can be more drawn to properties with kerb appeal so updates like cleaning the front path could add more value.
Jonathan said: “Sprucing up the front door with a fresh coat of paint and power washing the front path.
“This crucial first impression can add approximately £2,000 to the property’s value. And it can be finished in less than an hour.”
The tasks do not take much time or money to do but can make a big difference when selling your home. This comes as the UK cities where house prices have risen the most have been shared.
An expert shared how to boost the value of a home
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Zoopla executive director of research Richard Donnell said: “The fact that buyers and sellers are agreeing more sales is positive and evidence that house prices don’t need to fall further to support the continued recovery in sales.
“Buyers remain price sensitive, however, and continue to negotiate on price. Our view is that a greater availability of homes for sale will also keep price rises in check.
“We find that a third of homes for sale have been on the market for more than three months and are still listed at the original asking price. These are potential candidates for a possible reduction in the asking price to attract more buyer interest.
“This is purely at the discretion of the seller and the sales price they require to unlock their next home move.”
Selling a property can be a long and drawn out process, but for homeowners in some regions this will be much speedier.
The areas where houses sell the quickest have been shared in the latest House Price Index by Rightmove.
Properties in Scotland sell most quickly overall, with offers accepted generally within a month and a half.
The average time to sell a house is 71 days, according to the data, meaning homes in Scotland sell nearly twice as quickly.
Property selling times vary greatly across the country
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How long property takes to sell
Scotland – 43 days
North east – 64 days
West midlands – 71 days
Yorkshire & Humber – 73 days
South west – 73 days
South east – 73 days
London – 73 days
East of England – 75 days
East Midlands – 78 days
Wales – 82 days
While Scotland sellers can enjoy a speedy turnaround, those in Wales need to wait nearly twice as long to get an attractive offer in.
The UK national average of taking 71 days to sell is the longest time since 2019 and the report suggested a number of reasons for this.
Well-priced homes are quickly snapped up in many regions but sellers who are over-optimistically pricing their homes are struggling to find buyers and their homes are staying on the market for longer.
Knowing how to price a property is not easy and it is wise to seek advice from estate agents and see what similar properties in the area sell for.
As well as the speediest sales, Scotland has the second cheapest average property prices, costing £190,067.
Homes in Scotland sell more quickly than the rest of the UK
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Most affordable places to buy
North east – £187,592
Scotland – £190,067
Yorkshire & Humber – £247,054
Wales – £256,499
East Midlands – £287,145
West midlands – £288,945
South west – £383,889
East of England – £415,199
South east – £478,936
London – £686,844
There’s a widely held belief that real estate prices will, inevitably, only rise higher and higher. There are, however, long periods when that maxim is decidedly not the case.
Toronto is a prime example. After a surge in the 1980s, the Toronto market peaked in 1989 and didn’t regain that high until 2002 – more than a decade later. A 1995 peak in Vancouver was the high-water mark until eight years later. In the United States, it took a decade after the 2006 peak before that level was seen again.
Each example is different yet each shares central elements, from burst bubbles after manias to the gyration of interest rates and economic woes. What’s clear is real estate can go sideways for a long time, even if everyone believes the natural direction is up.
As Canada works to build a path to housing affordability, the most important thing is new supply – a lot of new homes. But just as important is changing the culture, the mindset that prices are destined to escalate.
Housing has long been expensive but the situation is now extreme. Five years ago, about 60 per cent of households could afford a condo. Last year, it was less than half. And that’s for a condo.
After many years of dizzying gains in the price to buy or rent a home, it’s become widely clear that higher and higher isn’t ideal and comes with many costs.
How to restore some semblance of affordability has shot to the centre of the political debate. This week, Canada Mortgage and Housing Corp., which has called for millions of new homes, held a conference on the question in Ottawa. The Globe on Wednesday illuminated how we got here in a series of charts, from record-low rental vacancies to the way-too-long time it takes to get new housing approved and built.
Many new homes are needed, yes. As this space showed last week, a burst of construction in booming Austin, Tex., has helped reduce the price to rent.
The shift in entrenched philosophy is also necessary. We need to rein in the housing market mindset that up is good, so pervasive in North America.
The mentality leads to speculation, starting with many families betting on the ever-rising value of their home as a pot of retirement savings. Generation Squeeze, an advocacy group for younger Canadians, puts it this way: “break the addiction to high home values.”
The celebration of higher home prices is deeply ingrained. Ownership in Canada peaked in 2011 at almost seven out of 10 households. Almost all political leaders own their homes and many are landlords. That’s the reason that as things started spinning out of control in the 2010s, blame was first cast on factors such as foreigners or investor speculation without grappling with the real problem: not enough housing.
In each example of real estate markets going sideways for a long time, Toronto, Vancouver, the U.S., it was always considered bad news. The Wall Street Journal lamented Austin’s shift from “America’s hottest housing market” to “running in reverse.”
The bigger goal is to rein in prices, bring them closer to people’s incomes.
The Teranet-National Bank house price index shows the price of housing rose 4.2 per cent annually from 2000 to this year, excluding inflation. Household incomes, according to Statistics Canada, rose by far less, about 1.2 per cent a year from 2000 through 2021.
The goal of a steady surge of new supply would be to establish a lasting buyer’s market. Critics of new supply will often say it won’t ease prices but big housing investors specifically warn shareholders that “competition for residents” and an “oversupply” of homes will affect the prices they charge.
Instead of hoping and cheering prices will someday soon recoup and exceed previous highs, the target has to shift to an extended, and welcome, period of nominal gains. If home prices this century had risen at only the rate of inflation, they would be less than half of what they are – and at levels last seen in 2006. Beyond a return to affordability, a market that offered such nominal returns is what would undercut and eventually end housing speculation.
Decades of culture and policy got us here. It will take time to restore affordability. It will take time to change the culture. But as Canada sets the initial foundations to allow for many more new homes, it is starting on the path to affordability.
Britons looking to snap up homes in the UK will be pleased to know that property prices have decreased since this time last year – albeit by a small amount. Between January 2023 and January 2024, the annual price change for a property in the UK was -0.6 per cent, according to GOV.uk’s most recent House Price Index.
Despite this, one UK country has seen property prices jump by almost 5 per cent in the past year. Britons buying in Scotland should expect to pay more for a house this year.
The average price of a property in Scotland is £190,328, which has seen a 1.3 per cent monthly increase and a 4.8 per cent annual increase.
This means that at the same time last year, the average property price in Scotland was around £181,192.
Britons buying property in Scotland should be aware of price jumps
Houses in Edinburgh / For sale signs
As for homes in England, according to the House Price Index, the average property price is £298,575, increasing by 0.4 per cent from December to January.
However, the price saw a 1.5 per cent drop annually, meaning that in January 2023, the average price was around £303,053.
In Wales, the average property price is £213,063, having fallen by 0.1 per cent in December 2023.
Its annual change was -0.8 per cent, meaning a year ago the average property price was £214,767.
Annual price change
England: -1.5 per cent
Northern Ireland (Quarter 4 – 2023): 1.4 per cent
Scotland: 4.8 per cent
Wales: -0.8 per cent
East Midlands: -1.9 per cent
East of England: -2.2 per cent
London: -3.9 per cent
North East: -3.1 per cent
North West: 1.0 per cent
South East: -3.1 per cent
South West: -0.6 per cent
West Midlands Region: 0.6 per cent
Yorkshire and The Humber: -0.7 per cent
In Northern Ireland, the average property price is £177,611, falling by 0.9 per cent monthly and rising by 1.4 per cent annually.
This means that in December 2023, the average property price would have been around £175,124.
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The average price of a property in Scotland is £190,328 after a 4.8 per cent annual increase
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According to the latest property data, Britons hoping to buy in England and Wales will find that homes are cheaper than they were this time last year.
However, in Northern Ireland and Scotland, prices have gone up, quite significantly in Scotland especially.
Despite the annual increase for properties in Scotland, it still boasts some of the cheapest houses in the UK.
Those searching for a property in the northeast of England and in Scotland will get the most for their money, according to the latest Rightmove House Price Index.
Britons looking to sell their homes can ensure they fetch a higher price with a few simple home improvements.
According to a property expert, updating the kitchen works wonders, particularly upgrading countertops.
People spend a great deal of time in their kitchens. It’s not only a place to cook and enjoy food, many Britons use the kitchen as a social spot for gathering loved ones together. Therefore, the space you have cultivated in your kitchen is paramount when you come to sell.
“Preparing your home for viewers is important. It will not only ensure your property sells faster but for a higher sale price; potentially adding thousands of pounds to its value,” said the Director of HomeOwners Alliance.
‘Upgrading kitchen countertops is expensive, but can add serious value’
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Angela Kerr said: “The kitchen is the most valuable room in a house. It is worth the most per square foot and can make the difference when buyers are unsure.”
There are things Britons can do to revamp their kitchen before putting it on the market, including some small tweaks that cost nothing, and other more expensive investments.
The expert recommended: “Upgrading kitchen countertops is expensive, but can add serious value.”
Another way to fetch more for your home may be to “consider refacing your kitchen cabinetry”. Angela explained that this is “much cheaper than installing new cabinetry and often as effective”.
“Consider upgrading the plumbing fixtures and white goods, but keep in mind that while that could make your property sell faster, you will be unlikely to recoup their full value.”
For a cheap way to improve a kitchen, Angela advised going on a tidying mission.
Britons may be able to get a better price for their property if they “declutter” the surfaces in their kitchen, simply leaving one bowl of fruit on the side.
Get rid of any papers, bags, cooking utensils and groceries that are usually found on a kitchen counter. The expert also advised getting rid of “bulky appliances” that aren’t being used.
But while some decluttering is essential – you want the potential new homeowners to imagine themselves living in the property – it’s important not to “depersonalise” the place.
Angela said: “Consider removing any bulky furniture that makes the room feel small and replacing it with smaller furniture.
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we millennials have never learnt how to keep house
A couple of weeks ago, visiting my mother’s house, I picked up a book on the kitchen table – Clean and Green by former Great British Bake Off winner Nancy Birtwhistle. It was a revelation. You can make laundry detergent from conkers, says Birtwhistle. You can whiten yellowing pillow covers with citric acid and table salt. Bicarb can be used for almost everything: smelly clothes, stained tea mugs, sticky labels on jars, you name it. You can freshen up the dishwasher by throwing in a couple of lemon halves (in a bag to catch errant pips) and then running it hot, explains Birtwhistle, who adds that she always does this before she goes on holiday (“Darling, come on, have you got the passports?” “Hang on, just popping the lemons in the dishwasher!”). Her list of how often one needs to do certain household chores was mind-blowing. Wooden spoons need to be sanitised once a month, instructs Birtwhistle; ovens should be deep-cleaned twice a year. Windows should be cleaned every month (what?), while loos and dishcloths should be cleaned every day.
How does one learn this stuff? How have I reached my age without knowing more? It feels sluttish, in the old-fashioned sense of the word, to have drifted through life buying Dettol to wipe my kitchen counters down after making supper but not thinking much beyond that.
Presumably this is why Mrs Hinch and other “cleanfluencers” have taken off on social media. Very few of us have been taught that white vinegar can clean the spots of rust on a shower head, or that a toothbrush is a useful implement to clean skirting boards. If only we still were. There’s endless discussion nowadays of the benefits of mindfulness and meditation apps to try and calm everyone’s raging anxieties, but do you know what’s mindful and meditative and easy to do from home without downloading an app? Buffing your window panes for three hours.
The retort from some to the accusation that millennials can’t keep house would be that they can’t afford a house in the first place, given the property market. Fair point. There’s less impetus to look after somewhere that isn’t yours. When are we supposed to find the time, others might wail. I know, I know, it’s very tricky given our jobs and all the hours that we need to spend on social media, watching clips of cats doing something amusing and improbable with a mop.
But I would still recommend giving the window thing a go. Heck, housework is even becoming fashionable. This week, Harrods started selling a £4,000 ironing board, which claims to cut ironing time in half, emits “hygienic steam” and comes with a keychain made of Swarovski crystals.
“Perhaps next you can tackle your oven,” my mother remarked when I reported back about my shiny windows. Baby steps, I replied. I’ve bought myself a copy of the Clean and Green book, although now I flick back through it, I realise I should have used washing-up liquid and vinegar instead of buying glass cleaner from the supermarket. Next month, Nancy, I promise.
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