The average price of new property coming to the housing market increased by just £14 this month, the smallest increase between January and February on record.

New data published by Rightmove suggested that this marginal increase, to £362,452, could still represent a “positive indicator” for the year ahead.

However, reflecting the slower market conditions, Rightmove added that new sellers have “broken with tradition” and held prices static for the first time ever at this time of year rather than increase them.

Though still early in the year, the property expert said that this month’s key metrics suggest many buyers are seeing reasons to get on with their property moves, and are displaying the confidence to return to a market which, so far, is stronger than it expected. The number of potential buyers contacting agents is up by 11% in the last two weeks, compared with the same period in 2019.

Furthermore, this demand is beginning to translate into sales, as the number of sales agreed is now just 11% down on the same period in 2019’s more normal pre-pandemic market, picking up from 15% down at the start of the year, and vastly improved from 30% down in the aftermath of September’s mini-Budget.

Rightmove director of property science, Tim Bannister, commented: “The big question this month was whether we would see new sellers  increasing their asking prices as has been the yearly norm as we approach the spring selling season.

“This month’s flat average asking price indicates that many sellers are breaking with tradition and  showing  unseasonal initial  pricing restraint. In addition to market conditions demanding greater realism on price, we are transitioning into a slower paced market, where buyers will take longer to find the right property at the right price due to the higher cost of servicing a mortgage.

“There are other indicators that this will be a softer rather than a hard transition despite the turbulence at the end of 2022. Homeowners who are coming to market in the upcoming spring season should use their agent’s expertise and get the price right the first time, which can really help to find the right buyer more quickly.”

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