Sellers in Britain's cheapest regions cut asking prices while surging mortgage rates 'bite harder' on stretched buyers

Two-year fixed mortgage rates have climbed to 5.55 per cent from 4.25 per cent in February, before the Iran war began. Rightmove says the jump adds roughly £250 a month to a typical new mortgage. Asking prices fell 2 per cent in the North East, 1.9 per cent in Scotland and 0.6 per cent in the North West. Rightmove's Colleen Babcock warned the 'rapid rise' is 'really beginning to hit buyers' budgets'.

National asking prices rose £3,575 to £371,015 but remain 0.1 per cent down on last year.

Buyer enquiries are down 9 per cent, and sales agreed have fallen 8 per cent.

London prices rose 2.5 per cent, but 38 per cent of listings there have been cut.