The UK housing market is humming along nicely thanks to affordable financial products, higher incomes, and high demand for all types of residential housing. One of the highlights currently is housing prices. England and Wales are now seeing asking prices for houses at a new all-time high, according to Rightmove.

Overall, the average asking price for a UK house has surpassed £294,000. This is an increase during the past thirty days of almost 1.0%. Asking prices are now more than 6% higher than one year ago.

Remortgage activity is also sky high currently thanks to the public notice of the Bank of England regarding the increase in the base rate coming in the next few months. The Monetary Policy Committee within the Central Bank is expected to raise the rate from 0.5% to 0.75%.

Rightmove director Miles Shipside commented on the latest figures, saying: “High demand, lack of suitable supply, and increasingly stretched affordability are leading to some extremes in market forces in different sectors and parts of the country.”

Shipside added: “One of the effects is that those who own property that is in most demand, either by type or location, are seeing their values continue to rise. Their properties are rich in features and benefits that others want to buy, and as a consequence they are getting proportionately richer than either owners of less desirable homes or those who are not on the housing ladder at all.”

House prices are not expected to remain stagnant for any period of time during the coming months. Many within the housing market are predicting increases of 4 to 6% over the course of the next twelve months.