Prices will rise by up to eight per cent next year unless more properties come to market, suggests a new report from Rightmove.
"There’s a listing gap to fill," said Miles Shipside, Rightmove director and housing market analyst. "While sales transactions are up 13 per cent so far in 2013, the number of newly listed properties is only up by two per cent. To help mitigate the upwards pressure on prices it is important that home-owners who have a move on their minds make it a new year’s resolution to spring into action. After six years afflicted by the credit-crunch, there’s a definite window to move up or move on in 2014 before the market’s usual pre-election pause in early 2015.
The report says that prices will continue to be highly localised and forecasts that Leeds, Manchester and York will be northern hotspots in 2014,
A second set of figures also out today, from Sequence, owners of Barnard Marcus, William H Brown and Fox & Son, suggests that competition for property is fierce, with almost seven new buyers for every new instruction, the highest level for three years
David Plumtree, Chief Executive at Sequence, said: "The current property market appears to show no signs of slowing as we approach Christmas, with activity levels and house prices remaining buoyant. Looking at the annual rate of change it becomes clear that 2013 is a very different market to that of last year, with sales transactions levels across the UK up 32 per cent and house prices up 9 per cent.
"The primary reason for the heightened activity levels is an increasing demand for home ownership across the spectrum. There has been a constant flow of new buyers for the last four months."