Average UK property price soars to record £294,834 in September
The average property in the UK hit a record high in September, up £2,550 to £294,834.
Analysts believe that it is very well possible for the average home to reach £300,000 by the end of the year if the property market continues at its current pace.
According to the Rightmove House Price Index, there was a shortage in supply in September, fueling the increase of £2,550 – the biggest September rise in over a decade.
If property prices continue to climb up at this rate then by December the average home may cost more than £302,484.
The family-home market surged by approximately 1.2 percent in September, while prices in the sector for first-time buyers stalled.
First-time home buyers are having a difficult time entering the market given that the average price of a home has surged by more than £10,000 in the last year.
The national average asking price in September 2015 was £294,834, up from £292,284 in August.
Miles Shipside, of Rightmove, said: “High demand, lack of suitable supply, and increasingly stretched affordability are leading to some extremes in market forces in different sectors and parts of the country.”
London property prices soar
The property market in the UK capital increased 2.2 percent, with the average asking price of newly-marketed homes in the capital soaring to a record £620,003.
If price growth continues at this rate and the imbalance between supply and demand doesn’t change then the average London home could be worth £1 million by the end of 2020, according to Rightmove.
Mr Shipside added: “While we are not suggesting that this level of growth can or will be maintained, this extrapolation illustrates the desperate need for building and more affordable housing in and around the capital.”