Buyer frenzy leads to highest prices since records began

Despite the tapering off of government support, the housing market has shown little sign that its momentum is slowing with the busiest first half of a year on record.

According to data published by Rightmove, the average price of houses coming to market has increased by over £21,000 in just six months to a record high of £338,447.

Estate agents in Hull also noted an increase in the average price of properties, up to £156,131, highlighting that the price increase is affecting most of the UK.

This has led housing experts to note that despite the reduction to stamp duty being one of the main catalysts and contributors to a bustling housing market, it actually has been superseded by the sheer price increase.

For example, a home that was priced exactly on the £500,000 threshold would have a stamp duty saving of £15,000, but that is dwarfed by the £57,000 increase in price.

After June, the threshold for the stamp duty reduction was cut in half to properties under £250,000, further reducing the practical benefit of the reduction before the saving is cut entirely at the end of September.

However, property experts have also noted that they expect house prices to remain steady, due in no small part to the sheer demand for housing that has existed since the market re-opened in mid-2020.

Buyers have different demands for their property than they did in 2019, with a home office moving from an ideal addition to a requirement, as well as greater demands for gardens and space.

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