After months of continuous rises, Rightmove says the price of new houses on the market have hardly moved from last month amid signs that values may have peaked. Surging property prices slowed across Britain in June, and even dropped in parts of London, as sellers flooded the market with fresh supply.
The price of new houses put on the market in June was almost unchanged, rising just £272 or 0.1pc from May, according to Rightmove’s latest House Price Index.
In London, new seller prices recorded a surprise drop of 0.5pc in June. Rightmove said buyers were put off by high values but also had more choice: there was a 20pc surge in the number of houses coming to market as home owners sought to cash in on record values. Across the country, new seller numbers were up 9.6pc compared to last year.
Miles Shipside, director of Rightmove, said the figures showed that after months of steep rises, the London property market was “starting to run out of steam.”
“While the legacy of rises in central London continues to ripple out to its better-value commuter-belt, fuelling price increases in all southern regions, London itself is now marking time,” he said. “It’s an example to the rest of the country of what happens when affordability and common sense gets stretched too far. Through luck or judgement it appears that the timing of the Mortgage Market Review, more property for sale in all regions, and a tail-off in pent-up buyer demand are alleviating some of the upwards price pressure.”