Rightmove’s latest House Price Index reveals a 1.8% (£6,591) decline in average new seller asking prices this month, bringing the national average to £364,833. This represents the largest November fall in more than a decade and surpasses the previous ten-year seasonal average of 1.1%. Commenting on the findings, Hamza Behzad, Business Development Director at Finova, provides analysis on the market pause as buyers await clarity from the forthcoming Autumn Budget.
Hamza Behzad, Business Development Director, Finova says:
“Today’s data shows a slight dip in house prices, reflecting a market in pause mode as buyers hold off ahead of the Budget. Speculation on reforms to property taxes – such as stamp duty, capital gains, and inheritance – has led some buyers, particularly at the higher end of the market in the South East, to take a ‘wait and see’ approach. But the overall picture is a positive one, especially given that the winter months are typically a slower period for the market.
The Bank of England’s decision to hold the base rate at 4% has provided stability, prompting lenders to introduce competitive rates to the advantage of first-time buyers and remortgaging homeowners alike. There are other factors in play, too. The new Renters’ Rights Bill is now in force, and it remains to be seen whether the new regulatory requirements will result in landlords selling up their portfolios, creating new buying opportunities in the market.”
The coming months will be key. How the market reacts to the Autumn Budget will determine whether this early momentum continues. In this climate, lenders must focus on offering flexible, tailored mortgage solutions to help proactive buyers take advantage of opportunities while others remain on the sidelines.”
