The soaring demand has also created rocketing house prices - they are rising 6.9 per cent annually right now, only a fraction below the 7.0 per cent seen in the early autumn.

At a regional level, Wales continues its eight month run of registering the highest rate of house price growth, up at 10.8 per cent, followed by the North West of England on 9.0 per cent. Yet again London offers a sharp contrast; after being most affected by the pandemic and subsequent lockdowns, it is registering more modest price growth of 2.3 per cent.

Supply continues to be a major worry, and the portal says the total stock of new homes for sale is down more than 40 per cent on the five year average: within that figure, the number of houses available for sale is actually down more than 50 per cent while the stock of flats for sale is also down on the five year average, but by a more moderate 15 per cent.

The contrast in stock availability is also reflected in price growth, with the average flat rising in value by 1.6 per cent over the past year, while houses are seeing rises at an average 8.3 per cent. 

 

Zoopla’s research head Grainne Gilmore says: “New supply will start to rise at the turn of the year as households use the holiday period to make a decision around making a move. In typical years, the highly seasonal supply of homes being listed for sale slows in the run up to Christmas, but rises sharply in the new year. 

“On average, the supply of listings at the end of January runs some 50 per cent higher than the start of December.

“Buyer demand will remain strong moving into next year, but as the market starts to normalise in 2022, there may be an increase in the proportion of activity among movers, who are active in the market as sellers as well as buyers. This should ease the constraint in supply to some extent.

“Other factors that will affect prices next year include the looming economic headwinds in the shape of rising inflation – which will push household costs higher. Even with some interest-rate rises, mortgage rates are likely to remain relatively low compared to long-run averages, and there is more room for price growth across some of the most affordable housing markets.”