Property Market News

Knight Frank's research team assesses what the Bank of England's slashed forecasts mean for the property market.

One in six local areas across Britain now has an average house price in excess of £500,000, says Savills.

"It seems that limited supply available on the market, coupled with steady demand growth, are still the overriding drivers of house prices," says the RICS' chief economist.

Coastal homes have seen asking prices rise by 13.9% on average over the last year, outpacing the national average of 9.9%.

“Having taken stock during the first three months of the year people are now coming to market and being decisive," says Russell Grieve, office head at Knight Frank Haslemere.

The total value of UK homes sold in 2021 was 37% higher than in 2020.

"Underlying fundamentals suggest house prices are reasonably priced at current levels," says Neal Hudson, but "the fundamentals may be about to change – potentially quite quickly."

While house prices have risen by 6.1% over the last two years, the price of flats has fallen by -0.9%

"The property markets in central and outer London are increasingly on different trajectories," says Knight Frank, as the latest market indices shine a light on sales and lettings trends.

The Bank of England expects interest rates to climb to around 2.5% by mid-2023.

The latest Bank of England data show a slight drop in mortgage approvals.

Surging house price inflation has pushed 4.3 million homes into a higher stamp duty bracket since the start of the pandemic, estimates Zoopla.