The number of homes for sale remains at an eleven year high for this time of year, limiting more significant price growth and reinforcing the need for sellers to price more competitively to attract buyer interest

The March market is steady so far despite the new global uncertainty created by the Iran war, though Rightmove insisted it was too early to assess the full impact:

The latest real-time snapshot of daily market activity shows that the number of sales being agreed is only 2% behind the strong market of this time last year, and 5% ahead of 2024

The number of new listings coming to market over the same period is just 3% behind last year, and 7% above 2024

Buyer demand was already running lower than in last year’s busier market, but has fallen no further since the beginning of the Iran war

The index pointed to a clear north-south divide, with the North of England, Scotland and Wales seeing stronger annual price growth

Rightmove’s daily mortgage tracker shows that the average two year fixed rate has risen to 4.51%, from 4.24% the week before, as lenders respond to geopolitical uncertainty

Rightmove property expert Colleen Babcock commented: “March has brought a typical seasonal lift in prices, and ‘steady rather than strong’ is how I’d describe the start of this year’s spring market. With the number of homes for sale at its highest level for over a decade, buyers have plenty of choice.”

She added: “Many sellers are facing stiff competition and the longest average time to sell at this time of year since 2013. In this kind of market, being not only competitive on price, but competitive from the outset when setting an asking price for your home is critical. Our research shows that relying on later price reductions is a much tougher and less effective strategy when buyers are very price sensitive and have so many alternatives to choose from.”

MT Finance director Tomer Aboody said: “Plenty of stock, in line with the time of year, is keeping prices in check to an extent, which is good news for those who are keen to move.

“The north-south divide illustrates how important affordability is when it comes to people’s ability to move house. In the more expensive south, price growth is more muted as buyers face more of a struggle in raising the necessary deposit and demonstrating enough income to satisfy lenders.

He added: “Everyone has one eye on the Middle East conflict, which could have an impact on inflation and therefore interest rates. Whereas market expectations were for at least one further rate cut in base rate this year, with inflation likely to spike as a result of the Middle East conflict, on top of existing economic policies, we could even see an interest rate increase. Hopefully, a steady hand on the tiller keeping rates where they are, rather than a kneejerk reaction that creates higher costs for homeowners, will prevail.”

London estate agent and former Rics residential chairman Jeremy Leaf said: “Despite inevitable worries that the present geopolitical uncertainty will increase upward pressure on inflation and mortgage payments, we have seen no price reductions or withdrawals from agreed sales in our offices other than for property-related reasons.

“Most buyers are obviously nervous about the impact of the conflict but are adopting a ‘wait-and-see’ stance for now at least.”