Rightmove: Asking prices rise but sellers are waiting 16 days longer to find a buyer

Average asking prices have grown on an annual basis for the first time in six months but properties are taking longer to go under offer, Rightmove has revealed.

The latest Rightmove House Price Index for January shows average new seller asking prices rose by 0.9% or £3,091 on a monthly basis to £362,839, while annual growth was up slightly at 0.1%.

It follows annual falls in every month since August 2023.

Rightmove suggests the market is working at two speeds.

Some agents report that accurately and competitively-priced properties are being snapped up by budget-conscious buyers but others are being left on the shelf.

It is now taking an average seller more than two weeks - 16 days- longer to find a buyer than at the same time last year. The time to find a buyer is at its slowest since 2015, excluding the initial lockdown months of April and May 2020, at 78 days on average.

The portal added that buyers now have more time to consider which property is right for them, making it even more important for sellers to price temptingly and stand out from the crowd.

Rightmove analysis also shows that sellers who price right initially are far more likely to find a buyer and sell more quickly.

The number of sales agreed in the first six weeks of the year is 16% higher than in the same period last year, Rightmove said.

During the first six weeks of 2024, the number of properties coming on to the market was 7% higher than the same period last year, while the number of buyers enquiring to estate agents was 7% higher, the index shows.

The number of sales being agreed is now 3% higher than at this time in 2019, Rightmove added.

Tim Bannister, property expert for Rightmove, said: “We said that February would be an important indicator for the year ahead, and the question was whether the Rightmove Boxing Day bounce in buyer activity would keep its spring into March or lose momentum. It's proved to be the former, with the number of sales agreed continuing to considerably outstrip last year. 

“Early-bird Boxing Day buyers got a head start in cherry picking from a record level of new property choice and have now been joined by many other buyers also believing that 2024 offers the right market conditions to move. Mortgage rates have fallen considerably from their peak and are now remaining broadly stable after the uncertainty of late 2022 and 2023. 

“Momentum to move in 2024 is continuing to build, but prospective sellers mustn’t get carried away. Buyers now have more choice of property for sale and many are still very price-sensitive, with mortgage rates remaining elevated. Sellers who are serious about moving this year would be well-advised to ride this wave of increased buyer confidence with an attractive asking price before any pre-election jitters or unexpected events dampen the momentum.”