While Spring buyers will not beat this month’s stamp duty deadline, they will benefit from the highest property choice at this time of year since 2015, according to the latest research from Rightmove.
The data also reveals that the average price of property coming to market for sale rose by 1.1% (£3,876) this month to £371,870, in line with the long-term March average increase, as many new sellers priced sensibly amid decade-high competition to sell.
Despite ongoing global uncertainty, the property market remains resilient, Rightmove says with positive signs of growth heading into Spring.
The number of sales being agreed is 9% higher than at this time in 2024, a positive sign for the market post-stamp-duty increase, and the number of new sellers is now 8% ahead year on year.
Mortgage rates remain only fractionally lower than at this time last year as buyer affordability remains stretched.
The average five-year fixed mortgage rate is now 4.74%, down from the peak of 6.11% in July 2023, but only marginally lower than the 4.84% at this time last year.
Commenting on the latest data Rightmove property expert Colleen Babcock said: “Historic averages show that this March is likely to be one of the strongest months of the year for sellers to spring into action. However, sellers can’t just rely on these historic averages for success, as this year they are facing a decade-high level of competition.”
She added: “The big milestone ahead in England is the stamp duty deadline, and with a massive log-jam of 575,000 moves going through the legal completion process, many cost-conscious buyers will be doing all they can to get their move over the line and avoid unnecessary extra tax.
“Whilst agents tell us that they have been working with both sellers and buyers to factor in the additional charges, many movers are understandably hoping to reduce their tax bill and keep their savings for themselves.”
Finova sales director John Tilzey commented: “Although the rush in applications driven by the stamp duty changes has started to slow, today’s data is a positive sign that the housing market is gathering momentum after a slow year. Another silver lining has been the return of sub-5% mortgages last month, with some deals dipping below 4%, providing an extra boost to potential buyers. Given a surprise contraction in economic activity in January, all eyes turn to the Bank of England’s decision on Thursday.”
He added: “High-street lenders are already repricing fixed-rate mortgages, driven by improved funding conditions and intensifying competition to keep customers on their books. However, these rate cuts remain modest, and there’s little sign of a major drop on the horizon for now.”
Together director of sales Tanya Elmaz echoed this point. “While interest rates are expected to fall further this year, inflation remains volatile, meaning mortgage rates could remain higher for longer, which could delay some buyers getting onto or stepping up the housing ladder. There is also the consideration of current global events such as tariffs and the threat of trade wars, which will have a negative impact on the market.”