Moneyfacts.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfacts.co.uk will always be from email@example.com. Be Scamsmart.
Despite the increase in supply, demand for housing is still strong.
Estate agents reported a 3.5% increase in the properties for sale during the past month, according to the latest Zoopla House Price Index.
This recent research attributes the increase in supply to existing homeowners looking to lock in recent price gains in house prices. The average house price rose by 8.1% in the year end to February, which means the average house price now stands at £245,200.
In addition, while supply is increasing, demand remains strong across the UK. The appetite for housing over the month to 20 March was 65% above the five year average.
“High buyer demand and rising supply signal activity levels will remain elevated in the short-term,” said Gráinne Gilmore, Head of Research at Zoopla.
However, she does expect house price growth to slow down in the second quarter of this year.
“As we move into the second half of the year, economic headwinds, including the rising cost of living and rising mortgage rates, will act as a brake on price growth, with annual value rises returning to more sustainable levels,” Gilmore explained.
“Demand from potential buyers is currently high across all property types, but particularly family homes, with twice as many people currently looking to purchase a three-bedroom home as this time last year,” said Nicky Burridge, Contributing Editor at Zoopla, in an article on its website today.
Additionally, homemovers thinking of switching homes need to be aware that average mortgage rates have continued on an upward trajectory since the beginning of the year.
Specifically, our data has recorded the average two year fixed mortgage rate at 2.65% for 1 March, 0.27% higher than the beginning of the year. In addition, the average five year fixed rate mortgage was at 2.88% for 1 March, 0.22% higher than the beginning of the year.
As of today, these rates have climbed higher, with the average two year fixed rate and five year fixed rate mortgage at 2.85% and 3.01% respectively.
Still, finding the right rate for you depends on a variety of factors. So, if you are considering moving home, use our charts. Whether you are in the market for a two year or five year homemover mortgage, we can provide you with the best deals on the market.
In addition, consider reading our weekly mortgage roundup, where you can keep up to date with how the mortgage market is moving.
Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time. Links to third parties on this page are paid for by the third party. You can find out more about the individual products by visiting their site. Moneyfacts.co.uk will receive a small payment if you use their services after you click through to their site. All information is subject to change without notice. Please check all terms before making any decisions. This information is intended solely to provide guidance and is not financial advice. Moneyfacts will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts recommends you obtain independent financial advice.