British property asking prices rose 0.7 percent in September, marking their first monthly increase since May, as the housing market showed signs of a seasonal autumn recovery. However, weaker buyer demand, elevated mortgage rates and a large supply of homes continued to weigh on the market.The average asking price of a newly listed property increased by £2,441 to £367,440 in September, according to Reuters report citing property website Rightmove. The rise was slightly above the 10-year average increase of 0.5 percent recorded for the month.The increase follows a 2 percent decline in asking prices in August and comes after three consecutive months of falls. Rightmove said the September improvement could signal the return of the traditional autumn pickup in housing activity, although the broader market remains challenging for sellers.High supply and mortgage rates keep pressure on buyersDespite the monthly increase, asking prices remained 0.8 percent lower than a year earlier and were 2.3 percent below their level at the start of the summer. The number of properties available for sale was also at a 12-year high for this time of year, increasing competition among sellers.Buyer enquiries were 9 percent lower than a year earlier, highlighting continued caution among prospective homeowners. Properties were also taking longer to sell, with the average time to find a buyer reaching 64 days in August, compared with 60 days in May.Mortgage costs have added to the pressure. The average two-year fixed mortgage rate rose to 5.29 percent from 5.09 percent a month earlier, making borrowing more expensive for households and potentially limiting their purchasing power.The housing market is also showing significant regional differences. Rightmove said 91 percent of homes for sale in Scotland were successfully finding buyers, compared with just 42 percent in London.
