UK house prices for new homes coming to market since Christmas have seen the largest monthly jump in five years.
The average price for new houses on the martet rose 1.7% to £366,189, according to Rightmove, which said 2025 has "started with a bang" after the usual seasonal fall in December.
A record number of new houses came to market on Boxing Day itself and in the weeks since, meaning that the number of new properties coming to market has been up 11% on the same period last year.
Numbers of buyers contacting estate agents about properties for sale is up 9% in that same period, with an 11% rise in the number of sales agreed and the busiest start to a year for mortgage in principle applications.
There has also been a rising supply, with the average number of homes for sale per estate agency branch currently at the highest for this time of year in 10 years, though average asking prices are still almost £9K below May 2024’s peak.
The house-buying website said there seems to be pent-up demand to move, with more choice for buyers, which has been contributing to the increase in buyer enquiries and sales agreed.
This has also resulted in elevated competition between sellers to attract buyers, with Rightmove saying some sellers "may find that they have been too optimistic on their initial pricing".
Given the higher-than-anticipated seller competition, Rightmove property expert Colleen Babcock said she expects the strong start on pricing "to slow down over the next few months".
"With lots of homes for buyers to consider, sellers will need to work even harder to stand out from the crowd and attract a buyer."
Incoming changes to stamp duty from April are likely to drive increased housing market activity, sector experts have said in recent months.
From 1 April 2025, stamp duty rates will change to 2% on purchases costing £125,001 to £250,000, and 5% on those between £250,001 to £925,000, 10% on deals between £925,001 and £1.5 million, with a 12% duty on house sales over £1.5 million.