May 2012 | Property Blog by Rightmove

Early end to spring bounce as May draws first-ever blank

New seller asking prices fail to rise in May for the first time since the inception of Rightmove’s House Price Index as spring price bounce hits the buffers with prices at a standstill (+0%)

Market takes a ‘breather’ as both demand and new supply reduce:
1. Demand lessens through combination of end of first-time buyer stamp duty assistance, some upward mortgage rate movements and renewed Eurozone jitters
2. Spring supply numbers stall too, with properties coming to market down 10% on April
3. Will summer sporting and Jubilee distractions continue to dampen activity like rainy May?

Growing market mismatch as two in five sellers state they are looking to trade down, drawn from the equity-rich baby-boomer generation, outweighing the one in four intending to trade up
- ‘Downtrading’ the main reason to sell in nine regions, London the affluent exception
- Knock-on ‘trader-upper’ volumes dented by end of stamp duty incentives to first-time buyers