July's House Price Index: demand is high from first time buyers and downsizers

The Rightmove House Price Index might surprise you if you listen to the media. Despite the repeatedly inflammatory news headlines and the challenges of rising mortgage costs and affordability issues, the market is doing pretty well. Due in part to increased first-time buyer and downsizer demand, the general supply and demand imbalance keeps the market alive and kicking.

Even with the rising rates, the housing market is surprisingly stable. Sellers have made minor adjustments to their price expectations, resulting in a slight 0.2% decrease in the average property price entering the market. However, don't be fooled by the press, buyer demand is strong and still greater than the ‘normal’ market of 2019 by 3%.

If you want to succeed in this market, the key is to price your property just right. At Redbrik, we understand the importance of setting realistic prices from the start. Trust us, it's essential because properties that require price reductions are over 10% less likely to find buyers - and we don't want you to miss out on potential buyers!

Yes, interest rate rises have impacted mortgage costs, but there are still many reasons to be optimistic. The average rate for a five-year fixed, 85% Loan-To-Value mortgage has increased slightly to 5.69% compared to the previous month, and some buyers may take a moment to assess rate stability. Still, we’ve got a database of motivated buyers at Redbrik who've factored potential rate rises into their budgets, ensuring the market remains active.

If you're a buyer, you’ve got to act fast in this market with limited supply and increasing competition. To secure your dream property; stay proactive, work closely with agents, factor in mortgage rate changes, and carefully consider your offer. This is essential to maximising opportunities in this competitive environment.

For sellers, there are still plenty of opportunities in this market, given the strong buyer demand despite rising rates. Just make sure to set realistic prices from the start and work with our experienced agents to attract those motivated buyers and navigate the competition successfully. Be prepared, and ensure you have all your selling information ready, so that buyers are confident you are ready to move.

If you're interested in selling your property, book a free valuation today, and let's work together to make the most of the exciting opportunities the housing market has in store. With Redbrik estate agents there are no gimmicks, just real results!