Rightmove asking prices down 2.2%

Rightmove has reported that the average asking price for a home in England and Wales fell for the second consecutive month during December.

The property website recorded a typical 2.2% drop in vendors’ ambitions over the four weeks to 5th December (to £221,463) following a 1.6% decline during the previous four week period.

Meanwhile, the number of homes on the market has plummeted to a 21-month low.

Rightmove puts December’s shift down to seasonal factors and says it is expecting further asking price drops during the winter month, followed by a revival in the Spring.

Looking further ahead, the firm expects house prices to remain flat during 2010, after having gained around 2% this year.

Price rises in better locations could continue, although recession hit areas of the country can expect more forced sellers and subsequent price falls.

According to Rightmove, 2010 transactions will exceed 2009 levels, but are likely to be a third down on historic norms.

The firm’s commercial director, Miles Shipside, comments: “Smart sellers should do their research on what’s selling around them, and take advantage of the pre-election Spring window.”

He adds: “Be wary of becoming left on the shelf in 2010 because hanging around for the best price could be a long wait post-election.”

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