Home Asking Price Index, March 2016: a frenzy of buying across the country
Asking prices in England and Wales rose 0.9% in March 2016, taking the annual increase to 7.9% as supply fell 4% year on year.
This is the March 2016 edition of the Home Asking Price Index, released on 11 March 2016, under the headline:
A Frenzy of Buying Across the Country
The headlines and summary below are the report's own words, with the key figures as it published them, followed by the report's charts and regional tables as printed.
Headlines
- East of England, London and the South East show huge drops in marketing times as buyers snap up properties at pre-crisis rapidity.
- Prices rise in all parts of the UK making the mix-adjusted average asking price for England and Wales jump a further 0.9% since last month.
- The West Midlands shows the largest monthly rise of 1.5% as demand outweighs supply in the region.
- Supply continues to contract overall with a decrease of 4% year-on-year.
- Typical Time on Market plummets to just 102 days across England and Wales: 17 days less than in March 2015.
- The average annual home price appreciation for England and Wales dips slightly to 7.9%.
- The total stock of property on the market edges up slightly.
- Scottish home prices rise 1.0% since last month.
- Supply of property for sale continues to increase in Greater London.
Summary
The spring price surge witnessed last month in the East of England has now spread across the rest of the country. Prices are soaring as properties are snapped up by eager buyers. A further increase of 0.9% this month in the mix-adjusted average means the annualised rise is currently 7.9%.
The total stock of property for sale remains very low, and scarcity continues to be one of the key market drivers. The number of properties entering the market is down 4% compared to a year ago. The hardest hit again this month is the West Midlands where 12% less new stock arrived on estate agents' books during last month vs. February 2015. The South West of England is also indicating shortages in supply with 8% less stock registered on agent portfolios last month.
Key figures
| Measure | Figure |
|---|---|
| Average asking price (England & Wales) | £292,511 |
| Monthly change | 0.9% |
| Annual change | 7.9% |
| Typical Time on Market | 102 days |
| Change in new instructions/supply | -4% |
Figures are for England and Wales unless the report states otherwise, as published in the edition.
Charts from the report
Source: Home.co.uk, March 2016
Source: Home.co.uk, March 2016
Source: Home.co.uk, March 2016
Source: Home.co.uk, March 2016
Source: Home.co.uk, March 2016. Note: Average = Mean (days), Typical = Median (days)
Regional tables
UK Asking Prices, Mar-16
| Region | Average Asking Price | Monthly % change | Annual % change |
|---|---|---|---|
| Scotland | £174,688 | 1.0% | 4.5% |
| North East | £153,786 | 0.6% | 0.6% |
| Yorks & The Humber | £177,175 | 0.9% | 2.7% |
| England & Wales | £292,511 | 0.9% | 7.9% |
| North West | £181,227 | 0.5% | 2.4% |
| West Midlands | £219,240 | 1.5% | 6.8% |
| East Midlands | £204,175 | 0.6% | 5.1% |
| East | £321,387 | 1.3% | 12.2% |
| Wales | £183,449 | 0.4% | 2.0% |
| Greater London | £550,073 | 0.9% | 10.7% |
| South East | £387,663 | 1.1% | 10.5% |
| South West | £298,055 | 0.7% | 5.7% |
UK Time on Market, Mar-16
| Region | Average Time on Market | Typical Time on Market | Annual % supply change |
|---|---|---|---|
| Scotland | 257 | 148 | -7% |
| North East | 260 | 151 | 1% |
| Yorks & The Humber | 214 | 131 | -1% |
| England & Wales | 177 | 102 | -4% |
| North West | 220 | 135 | -5% |
| West Midlands | 176 | 103 | -12% |
| East Midlands | 161 | 93 | -8% |
| East | 115 | 49 | -7% |
| Wales | 254 | 160 | -2% |
| Greater London | 108 | 49 | 7% |
| South East | 104 | 47 | -3% |
| South West | 158 | 93 | -8% |
From the director's commentary
"The changes in stamp duty for Buy-to-Let investors has meant that the property market has had the equivalent of an adrenaline burst to kick-start what was already going to be an excellent year for house prices. Following this aberrant phase we may find that prices pause for breath, but the underlying fundamentals of cheap borrowing and tight supply will remain overall."
Doug Shephard, Director at Home.co.uk
Read the full March 2016 edition (PDF, 6 pages)
About the Home Asking Price Index
The Home Asking Price Index measures the change in the prices sellers ask for residential property across England, Wales and Scotland. Today it is computed every month from around half a million advertised homes and is mix-adjusted, so a change in what happens to be on the market does not move the figure; earlier editions state the sample they were built from. Because an asking price is set months before a sale completes, the index runs around five months ahead of completed-sale measures such as the UK House Price Index.
Every edition in the archive, back to October 2006, is listed on the index page. How we measure the UK property market explains the listing data behind it, and today's figures by area are on house prices and rental prices.
Text and figures above are quoted from the March 2016 edition as published, with punctuation normalised for the web, and are not revised. Later editions may restate them.
More in What is happening to house prices: the Home guide
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