Landlords selling up because of rising taxes and unaffordable regulations are being advised not to be over ambitious with asking prices. 

Tim Bannister, a director at Rightmove, says: “Momentum to move in 2024 is continuing to build, but prospective sellers mustn’t get carried away. Buyers now have more choice of property for sale and many are still very price-sensitive, with mortgage rates remaining elevated. 

“Sellers who are serious about moving this year would be well-advised to ride this wave of increased buyer confidence with an attractive asking price before any pre-election jitters or unexpected events dampen the momentum.”

The portal says the housing market is operating at two speeds right now

Some agents report that home accurately and competitively priced are being snapped up by budget-conscious buyers who are keen to make 2024 their year to move, having paused during the uncertainty of 2023. 

However, properties over-priced will immediately stand out against more competitively priced neighbours and are being left on the shelf by price-sensitive buyers, says Rightmove.

Evidence of this is that despite higher activity levels now than last year, it’s actually taking an average seller more than two weeks longer to successfully find a buyer than at the same time last year. 

The portal warns landlords and others selling: “Buyers now have more time to consider which property is right for them, making it even more important for sellers to price temptingly and stand out from the crowd. Rightmove analysis also shows that sellers who price right initially are far more likely to find a buyer and sell more quickly.”

Rightmove’s comments follow its release of statistics showing a strong start to the market in 2024.

Average new seller asking prices rose by 0.9 per cent or £3,091 in the past month to £362,839. The annual price change moves tentatively back into positive territory after six months of annual price falls, with prices up by 0.1 per cent on a year ago.

Agreed sales in the first six weeks of 2024 are 16 per cent higher than over the same period last year, and three per cent higher than in the more normal market of 2019, indicating that many early-bird buyers feel that 2024 offers the right conditions to move.

The growing market momentum is also evidenced by the increase in activity of both buyers and sellers on Rightmove with seven per cent more new listings coming to market than last year, and a seven per cent upturn in the number of buyers enquiring.