Wales has seen the highest growth in house prices anywhere in Britain, according to property portal Rightmove.
The market in Wales is said to have reached record levels for UK property prices as it continues to overheat across most of the UK at a rate many estate agents are calling unprecedented.
Figures just released by Rightmove see a new UK record for the average price of property coming to market of £333,564, which is 1.8% (+£5,767) above the previous all-time high recorded just a month ago. While the level of new properties coming up for sale is at a similar level to the long-term average, demand continues to massively exceed supply, especially in Wales and the northern regions of England.
House prices have increased by 13% in Wales in a year, almost a full 2% more than the next area listed, the north-west of England. This is in stark contrast to the London market rate of price increase since pre-lockdown March 2020, which is now at a virtual standstill (+0.2%).
In Wales, most estate agents agree that the effect of the coronavirus pandemic has been the main driver behind this huge influx of buyers overwhelming the supply of available and affordable property. People are bringing their dream move to the country, coast or village forward in their plans, with the opportunity to work from home as well as access to open spaces being the number one cause.
There is also an increase in property demand in other areas of the UK. It has been reported that Cornwall’s property market has received 100s of applicants for each property. Merseyside and Greater Manchester has also experienced overwhelming demand from desirable house buyers.
With demand this strong we expect to see asking prices continue to grow at least until the end of September when the stamp duty exemption period ends. In fact, there are signs these house price rises will continue into next year as the market continues to recover from five years of restraint brought on by Brexit and the subsequent Covid-19 pandemic.