Reallymoving has predicted that house prices within England & Wales are set up 7.1% withing the next 3 months up until the end of Q3.
However, there are already early signs that the prices could slowdown at the end of summer, statistics has shown.
How do we know the prices are going to rise?
Buyers typically search for quotes three months before their purchase completes, which provides an indicator of house price trends over the months ahead.
Analysis of this data suggests that average prices will reach £330,081 by the end of August, which would be an increase of 11.1% on the same time last year.
Looking at month-on-month trends, May saw prices drop by 6.4% as the impact of the government’s original plan to end the stamp duty holiday in March dragged down the market and prompted a short-term lull.
Prices are currently on track to increase by 2.9% in June and 3.8% in July, before growth slows to 0.4% in August, according to Reallymoving’s predictions.
Conveyancing quote volumes on Reallymoving peaked in March at more than double the usual level and remained high in April, but dropped by 10% in May, which suggests that buyer demand is beginning to wane.
Reallymoving chief executive Rob Houghton says: “This significant period of growth for the housing market may be showing signs of slowing in pace which will be reflected in completed sale prices in August.
“While demand may be reducing, there’s still a huge volume of activity in the market which is driven predominantly by lifestyle factors as well as tax savings.
“Money is cheap to borrow, workers are enjoying greater freedoms than ever before to live where they choose and with fewer demands on cash savings from holidays and leisure activities, many people remain determined to move and achieve a lifestyle that may previously have been impossible.”