By Anthony O. Goriainoff

The average cost of property coming to the U.K. market rose and was in line with historical trends in March as many sellers priced sensibly despite decade-high competition to sell, according to data from Rightmove.

The U.K. property website said the market saw increased buyer demand and the highest supply in years ahead of an impending tax increase, with the average price of property coming to the market for sale rising to 371,870 pounds (around $481,608). This represents a 1.1% or 3,876 pounds rise on average, in line with the long-term March average increase.

Rightmove said that the number of sales agreed was 9% higher that at the same time in 2024, and that this was a positive sign for continued market activity after the stamp duty increase, with the number of new sellers 8% higher than last year.

Stamp duty is a buyers' tax which is set to increase as of April 1 for many buyers.

The company said that although many new spring buyers won't beat the stamp duty deadline, they will benefit from the highest property choice at this time of year since 2015. It added that there's a massive backlog of around 575,000 moves undergoing the legal sales completion process as many try to beat the deadline. The number represents half of Rightmove's 1.15 million final transactions forecast for the whole of 2025.

Rightmove says that although the average five-year fixed mortgage rate is now 4.74% down from July 2023's peak of 6.11%, it is only marginally lower than the 4.84% seen at this time last year.

According to Rightmove, the property market has remained stable and resilient so far this year despite global turbulence and uncertainty. The property website says that this momentum is set to continue in the short term "as there are positive statistics for home-moving activity as the market heads into spring."

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

March 17, 2025 01:30 ET (05:30 GMT)

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