Rightmoves Septermber house price index (HPI) reports that the average asking price has dropped again for the 3rd consective month, down 0.6% over the month. This also represents a 4.6% fall over the quarter.
- Average asking price is £234,858
- The fall of 0.6% represents a drop of -£1,402
- The quarterly fall of 4.6% represents a drop by -£11,377
- Over the past year, the average asking price has increased by 0.7%
September also sees the 5th anniverary of the run on Northern Rock bank and allows Rightmove to compare asking prices both before and after this significant event. This helps reflect on the propertymarket both pre and post the credit-crunch initial start in the property market.
- Prices virtually unchanged on five years ago (Sep 2007) – down just 0.1% at £235,176
- In complete contract, in the previous 5 years before hand (Sep 2002 to 2007), average asking prices saw a 55% rise
Winners & Losers
Of course the price standstil over the past five years doesnt mean there have not been both winners as well as losers within teh credit crunch.
London and parts of the South have bucked the trend, especially in the later years, with cash rich buyers and buy-to-let investors continuing to push the property market along – WINNERS
Traped renters, mortgage prisoners, downtrodden down-traders and sellers in the cash-strapped areas of the north are all LOSERS.
Miles Shipside, housing market analyst at Rightmove comments:
“Summer sellers have had some very stiff competition, not only from competing sellers chopping their prices but also from the Olympics extravaganza which has been more compelling for many than viewing property. Property coming to market is £11,000 cheaper than it was three months ago and there will be many hoping that this gives a boost to the autumn selling season if buyers leave their starting blocks in a hurry and join the traditional rush to see in the festive season in a new home”.