Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

UK house prices rise again amid record monthly sales - Rightmove

Economic IndicatorsJul 19, 2021 00:10
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: A Union flag hangs across a street of houses in London, Britain June 3, 2015. REUTERS/Suzanne Plunkett

LONDON (Reuters) - Asking prices for British homes rose by 0.7% between mid-June and early July compared with a month earlier, the biggest rise for the time of year since 2007 despite the scaling back of a tax break for buyers on July 1, property website Rightmove said.

The increase was aggravated by a shortage of properties on the market and pushed average asking prices to a record high for the fourth month in a row, Rightmove said. Asking prices have risen by 6.7% over the past six months.

June probably saw a record number of house sales as buyers in England and elsewhere in the United Kingdom rushed to beat a June 30 tax break deadline, Tim Bannister, Rightmove's director of property data, said.

"This has left prospective purchasers with the lowest choice of homes for sale that we've ever recorded, continuing price rises, and stretched affordability," Bannister said.

Rightmove, which says it advertises 95% of homes for sale in Britain, said the imbalance between supply and demand was likely to support the market. The data was collected between June 13 and July 10.

British house prices have surged since the coronavirus pandemic struck as people working from home sought bigger properties and the government cut the purchase tax.

The first 500,000 pounds ($692,000) of any property purchase in England or Northern Ireland was exempt from stamp duty until the end of June. A 250,000 pound tax-free allowance remains until the end of September.

A similar but smaller incentive in Wales expired on June 30.

Official data, based on completed transactions, showed British house prices in the year to May rose by 10%, matching their biggest increase since 2007.

The boom in the housing market helped to soften last year's 10% slump in the economy but has widened wealth inequalities between property owners and those without their own homes.

Separately on Monday, a survey showed confidence amongst consumers in Britain edged back to pre-pandemic levels in the April-June period, helped by the lifting of many social-distancing rules.

The report by Deloitte also found 79% of respondents saved money during the pandemic. Of them, 58% intended to spend more on holidays, eating, going out and clothing over the next three months. The survey questioned more than 3,000 people in Britain between June 18 and June 21.

Another survey found a slight slip in confidence among small businesses after delays to the final lifting of coronavirus rules, but growth expectations and hiring plans remained strong.

The Federation of Small Businesses said 50% of small business owners predicted improved business in the next three months compared with 32% who expected it to worsen. The survey of 1,561 small firms took place between June 24 and July 9.

($1 = 0.7230 pounds)

UK house prices rise again amid record monthly sales - Rightmove
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email