In 2021 the UK witnessed a property market boom as a result of the pandemic and the stamp duty holiday.
With an increased number of people wanting to move homes but a lack of properties coming onto the market, competition among buyers was high - forcing house prices to surge.
Last year the average asking price of a UK property reached £340,167 in December, according to data from Rightmove.
And as we enter 2022, it seems as that the housing market has no sign of slowing any time soon as trends from 2021 look set to continue.
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Rightmove's House Price Index has revealed that the average price of a home on the market in January is £341,019 - a 0.3% rise from December 2021.
This average asking price for this month is also 7.6% higher than this time last year - an annual rate of growth not seen by Rightmove since the 8.3% recorded back in May 2016.
The record jump is driven by homes in the 'top of the ladder' in other words 'forever homes' and first-time buyer properties - with the price of first homes hitting a new record average price of £214,176.
A strong demand to move but a low supply of homes up for sale is also continuing into 2022 - causing the 'busiest ever' start to a new year according to Rightmove.
The number of buyers enquiring about homes is 15% higher than in January 2021, but the number of available homes for sale per estate agency branch has dropped to a new record low of just 12.
As a result, competition among buyers is almost double what it was at this time last year.
The few homes that are currently on the market are being snapped up quick by determined buyers.
More than 70% of the properties on estate agents’ books in January have already been sold, with less than 30% still available to buy.
However, there are encouraging signs that more homes are on their way onto the market, with the first working week of 2022 recorded as the 'busiest start of the year ever' for people requesting agents to value their homes:
The number of home valuation requests in the first week of January is 44% up on the same period last year, and 48% up on the same period in 2020.
The first working day of the new year, January 4th, saw the fifth-highest number of valuation requests in a single day that Rightmove has ever recorded.
Tim Bannister, Rightmove’s director of property data said: “Early-bird sellers who got themselves ready to come to market are now benefiting from the busiest start to the year that we’ve ever recorded, with the number of prospective buyers enquiring about homes up 15% on this time last year.
"People who have made it their New Year’s resolution to move are finding asking prices are within just one per cent of the record from October last year, and are at the highest level ever recorded for first-time-buyer type homes.
“It’s clear that the trends which defined the market in 2021 have carried over into this year. That being said, we are seeing early signs of a better balanced market in 2022.
"The number of requests from would-be sellers to agents to value their home has continued to increase from the end of last year and was at one of its highest points ever on the first working day of this year.
"While this potential new supply will take a little while to appear on the market, it’s an encouraging sign of more choice for buyers in the coming months."
Tim advised: "The speed at which we’ve seen the fresh choice that has come to market being snapped up by eager buyers over the past 18 months is a reminder to buyers to move fast and book a viewing with the estate agent as soon as a property that could be the one for you comes to market.
"To put yourself in the best possible position to proceed, you should become a ‘power buyer’, by making sure your current home is on the market or preferably sold subject to contract first, before starting the search for your new home.”
