Records tumble as agents see soaring demand hit reduced stock

One in six properties sold for over the original asking price last month, higher than the proportion in February and another sign of the frenzied housing market. 

The 16 per cent recorded by NAEA Propertymark in March was the highest since May 2014 when 19 per cent sold for more than the original asking price.

And last month only a third of properties sold for less than the original asking price, the lowest number since records began.

The average number of sales agreed per estate agent branch stood at 12 in March which is an increase from 11 in February. Year-on-year, this is the highest recorded for the month of March since 2007 when the sales agreed per branch also stood at 12.

The number of sales agreed per branch has now increased consecutively each month since December.

Meanwhile the number of sales made to first time buyers stood at 27 per cent in March, a rise of two per cent from February. This is the highest since June 2020.

The average number of house hunters registered per estate agent branch stood at 409 in March, which is an increase from 388 in February.

However, the number of properties available per member branch stood at 31 in March, falling from 34 in February. This means there is an average of 13 buyers for every available property on the market.

Mark Hayward, Chief Policy Advisor, Propertymark comments: “It is fantastic to see the property market continuing to thrive, fuelled by the announcement to extend the stamp duty holiday. 

“The pandemic has meant many homeowners currently living in urban and city areas have reconsidered their lifestyle and are now reprioritising how and where they want to live, especially with working from home becoming the new normal. The imbalance of supply and demand means it’s an extremely strong sellers’ market; properties are selling quickly and for over the asking price, and this is something we expect will continue in the coming months.”