The latest House Price Index from Rightmove indicates that the cost of a property coming to the market in the last month rose by £2,509.
Given that the average UK salary per month is a little under £2,000 after tax, this means that in many cases, the average home is earning more per month than the people inside it.
Commenting on the figures, Marc von Grundherr, director of Benham and Reeves, said: “A 0.8% rise in monthly price rises, whilst slower in pace than in recent months, is still almost 10% annually if such a trend were to continue. That’s colossal growth and even more so at the top end of the market where homes are seeing over 12% rises in value despite the fact they may soon miss out on the maximum stamp duty holiday saving of £15,000. This bodes well and may confound the doomsayers that have been forecasting a cliff edge come the end of June.”
Others were more critical. Matthew Cooper, managing director of Yes Homebuyers, said: “Property stock is evaporating at an alarming rate due to huge levels of buyer demand and this severe imbalance is causing an artificial property price boom. Great for sellers who can justify overpricing their home but not so great for the wider market that is already groaning under the pressure.”
This post has originally been featured in Property Wire.