Asking prices for homes in England and Wales are now over 50% higher than they were 10 years ago after passing £300,000 for the first time, Rightmove data suggests.
Asking prices for homes in England and Wales are now over 50% higher than they were 10 years ago after passing £300,000 for the first time, Rightmove data suggests.
Over the past decade prices have seen a £100,000 jump in new seller asking prices from £200,980 in March 2006 to £303,190 today.
Miles Shipside, Rightmove director and housing market analyst, said: “While the start of 2016 has seen an encouraging but modest uptick in the number of properties coming to market, demand and momentum have combined to push prices over £300,000.
“On average 30,000 properties have come to market each week over the past month, up by 3% on this time last year, but there are insufficient numbers of newly-listed properties in many parts of the country to meet demand.
“Visits to the Rightmove website are up by 14% in early March compared to the same period in 2015, so it’s no surprise that those buyers who can borrow more or can find some extra cash are keeping the price merry-go-round spinning, even though increasing numbers of aspiring home-movers cannot afford the ride.”
Meanwhile Shipside said affordability constraints have been emphasised by average wage growth of only 22% over the same period.
Jeremy Duncombe, director of Legal & General Mortgage Club, said: “If prices are to ever normalise relative to wages, levels of housing supply must be dramatically increased.
“As long as we fail to build enough houses to meet both the current shortfall and future demand, house prices will grow faster than both wage growth and inflation, pricing many out of the market and fuelling Generation Rent.”
