Housing Market Steady So Far In March Despite Global Uncertainty
The March market is steady so far despite the new global uncertainty created by the Iran war, but it’s too early to see the full impact
Average new seller asking prices rise by 0.8% (+£3,023) in March to £371,042. This is a typical price increase for this time of year
The number of homes for sale at this time of year remains at its highest level for 11 years. This is limiting price growth and makes it important for sellers to price their properties carefully to compete with other homes on the market.
Confidence among movers remains steady
This suggests that home-movers are continuing with deals despite headlines about potential mortgage rate rises and increases to fuel and energy costs. In addition, the number of new listings coming onto the market over the same period is just 3% lower than last year, and 7% higher than 2024.
These stats suggest that seller confidence is so far staying steady, with many continuing to take part in the spring selling window. Demand from new buyers was already running lower than in last year’s busier market but has not fallen any further since the beginning of the Iran war.
It’s too early to see clearly how these major global events will affect the market. However, Rightmove has not seen the same kind of immediate and sharp response from movers that we saw for previous events such as stamp duty changes or the rapid mortgage rate rises in September 2022.
Price growth limited by choice of homes for buyers
The average price of newly listed homes for sale rises by 0.8% (+£3,023) in March to £371,042. This is a typical price increase for this time of year, following unusually flat prices in February.
We can see the usual effect of the spring selling season on prices, but growthhere remains modest. This is in line with average figures over the last 20 years but is lower than price increases seen for the past two years.
Price growth is being limited by a large number of homes coming onto the market – the biggest increase we’ve seen in eleven years. This is giving buyers more choice and forcing new sellers to be more restrained and realistic when pricing their properties.
Collen Babcock, Property expert at Rightmove stated: “March has brought a typical seasonal lift in prices, and ‘steady rather than strong’ is how I’d describe the start of this year’s spring market. With the number of homes for sale at its highest level for over a decahere.de, buyers have plenty of choice.
“Many sellers are facing stiff competition and the longest average time to sell at this time of year since 2013. In this kind of market, being not only competitive on price, but competitive from the outset when setting an asking price for your home is critical.
“Market activity remains stable so far in March. This is encouraging given the new global uncertainty over the last few weeks, though it’s too early to tell what may happen later down the line.
“That said, uncertainty is never helpful for market activity, and it’s come at a time when confidence and optimism would usually be building as the spring market gets underway.”
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