Editor's note: This brief was summarised by The Property AI Newsroom from a report by PropertyWire. Read the original article for full details.

UK Home Searches Up 7% as Buyer Power Falls Amid Higher Mortgage Rates

Home searches across the UK have increased by 7% year-on-year following a quiet summer period, according to new data from Zoopla. However, buyers are now facing a 9% reduction in purchasing power due to rising mortgage costs.

Zoopla’s figures, as reported by PropertyWire, show that the average five-year fixed mortgage rate has risen from below 4% in January to approximately 4.8% at present. This increase in mortgage rates has contributed to the decline in what buyers can afford.

For letting agents and inventory clerks, the rise in home searches may signal increased activity in the property market, despite the financial challenges faced by buyers. The reduction in purchasing power could also influence rental demand and the types of properties sought by tenants.