In March 2024, the UK real estate market is demonstrating strong signs of recovery. According to the latest report data, the average house price in the UK increased by 1.5% this month, marking the largest increase in nearly ten months. This growth momentum is primarily attributed to the gradual warming of market activity with the arrival of spring. Compared to the same period last year, agreed sales volumes have increased by 13%, and buyer demand has risen by 8%.

Across the UK, the average listing price for this month increased by 1.5% compared to the previous month, reaching £368,118 per property. Although current prices are £4,776 lower than the peak in May 2023, this downward trend has provided more opportunities for buyers, attracting more people to enter the market in search of buying opportunities.

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It is worth noting that the 1.5% increase this month is higher than the historical average increase for March, indicating that the UK real estate market is still maintaining a positive development trend at the beginning of this year. Rightmove pointed out that for those who have the ability to buy but have not yet taken action, the current situation represents a valuable "buying window."

However, despite the overall good performance of the market, it remains sensitive to prices and external events. It is worth noting that the recent spring budget did not directly support first-time buyers or the mortgage market, which may partially inhibit the growth of buyer demand. Additionally, the rise in mortgage interest rates may also affect buying activity, with the current average rate reaching 4.84%, up from 4.64% five weeks ago.

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For different types of properties, prices for first-time buyers, second homes, and high-end properties have all increased this month, with overall housing demand increasing by 8% compared to the same period last year. In particular, agreed sales volumes in the high-end property sector have increased by 18% compared to the same period last year, indicating enthusiasm from buyers who are less sensitive to mortgage interest rates.

In London, as one of the largest real estate markets in the UK, house prices are also trending upwards. There are varying increases across different administrative areas, with places like Richmond upon Thames, Hammersmith and Fulham, Westminster, and Greenwich experiencing higher rises. Richmond is known as the "happiest administrative area in London" with high-quality education resources and living environments, hence maintaining strong house prices.