Asking prices across England and Wales surged a further 0.9% overall in May, bringing the year-on-year rise to 6.5%, according to Home.co.uk’s Asking Price Index.
Demand remained high, even increasing in London and the North East. However, stock levels remain very low by historic standards and consequently prices have continued to rise rapidly across all regions.
The supply of new instructions entering the market nudged up slightly as more potential vendors are tempted by record prices.
Home prices rose significantly in every English region, Wales and Scotland during the past month. While Marketing times remain very low by any historic precedent.
Relative scarcity persists across all regions with the average stock total dropping around 11% year-on-year.
The largest falls in unsold sales stock are found in the North East (19.0%) and London (18.7%), and these trends strongly suggest further strong price growth going forward.
However, the first real indications of rising supply are evident in the East of England and East Midlands where the rate of new instructions rose by 10% and 12% respectively compared to May 2021. Overall, supply across the UK is up 5% year-on-year.
Rents are up year-on-year across all regions. The mix-adjusted average rise for the UK is 18.8%. Supply is worsening in this sector too, with newly available rental properties down by 24% compared to May 2021.
The annualised mix-adjusted average asking price growth across England and Wales is now at +6.5%; in June 2021, the annualised rate of increase of home prices was 9.0%.
