Properties selling over asking price at all-time high for third month as housebuyers rush to meet stamp duty deadline

NAEA Propertymark publishes its Housing Report for June, showing that properties selling over asking price at all-time high for third month in a row in rush to meet stamp duty deadline.

Headlines:
  • Two in five properties sold for more than asking price in June – highest ever on record
  • Supply of properties remains at a low with 19 buyers per property
  • Number of properties selling for more than asking price highest on record for third month in a row
What properties sold for:
  • In June, two in five (40 per cent) properties sold for more than the original asking price.
  • This is a jump from May when 33 per cent of properties sold for more than the original asking price.
  • This is also the highest figure ever on record, beating last month’s previous all-time record.
Sales agreed:
  • The average numberof sales agreed per estate agent branch fell slightly to 11 in June, from May’s figure of 12.
  • Year-on-year, this figure is the highest for the month of June in 4 years, since 2017 when the number of sales per branch also stood at an average of 11 per month
  • This is also slightly higher than last year’s figure of 10 during June 2020.
Sales to FTBs:
  • The number of sales made to First-Time Buyers stood at 27 per cent in June, which has been the same since March this year.
Supply of available properties:
  • The number of properties available per member branch stood at 23 in June, falling slightly from 25 in May.
  • This figure is the joint lowest ever on record for the second month in a row. Prior to this the record was in December 2002 when there were also 25 properties available per branch.
  • This means there is an average of 19 buyers for every available property on the market.
Demand from house-hunters:
  • The average number of house-hunters registered per estate agent branch stood at 426 in June, which is a jump down from 506 in May, but in line with the previous month’s figure of 427 in April.
  • Year-on-year this is the highest figure on record for the month of June for six years, since June 2015 when the figure stood at 439.
Mark Hayward, Chief Policy Advisor, Propertymark comments:

“It is astonishing to see demand for housing breaking records yet again this month, with more and more homes selling for over the asking price this year as consumers hurried to beat the first tapered stamp duty deadline. With 19 buyers per available property, we are very firmly still in a strong sellers’ market; properties are being snapped up swiftly and at record high prices.

“We do anticipate a rebalancing of the market over the coming months however, which is much needed. As the stamp duty holiday continues to be phased out and people return to normality now that most Covid restrictions have been lifted, they will be spending money saved during the pandemic on white goods for their new homes.”

 

Kindly shared by NAEA Propertymark

Main photo courtesy of Pixabay