Asking prices have been halted in their tracks this month, thereby ending a five-month run of consecutive rises.

Despite a surge in new listings, typical for this time of year, sellers have been compelled to price their properties more competitively, according to the Home.co.uk asking price index released this week.

The HAPI is based on asking price data which means the index can provide insights into price movements around 5 months ahead of mortgage completion and actual sales data.

Asking Prices for homes in England and Wales fell slightly by 0.1% ending a five-month run of consecutive rises.

Asking Prices in England and Wales rose by 1.6% over the last 12 months (ca. 1.4% below the CPI, ca. 2.8% below the RPI and ca. 2.1% below the AEI).

Greater London asking prices remain unchanged with a mix-adjusted average house price of £320,567

This month’s figures suggest that market sentiment is beginning to cool off and the recent asking price rally may indeed be over. February’s mix adjusted average asking price for homes on the market in England and Wales is 0.1% lower than January’s figure. Albeit slight, this is the first monthly fall registered by this index since Aug 06 and suggests that the recent rising trend is losing momentum.

Weakening confidence amongst sellers, in the wake of three recent interest rate hikes by the Bank of England, signifies that affordability constraints are beginning to bite harder. With the supply of homes on the market rising and demand falling, especially from first time buyers, a ‘tipping point’ may well be within sight.