Business is booming.

UK house prices rise at the fastest pace in 15 years

20


UK house prices registered their strongest three-month growth in 15 years in November, boosted by demand for a limited supply of housing stock, low mortgage rates and a strong labour market.

The average price of a UK property hit a record high of £273,000 last month, according to the mortgage provider Halifax. The value of homes rose 1 per cent from October, 8.2 per cent higher than in the same period last year.

“The performance of the market continues to be underpinned by a shortage of available properties, a strong labour market and keen competition among mortgage providers keeping rates close to historic lows,” said Russell Galley, managing director at Halifax.

In the three months to November, house prices registered a 3.4 per cent increase compared with the previous quarter, the fastest pace since 2006.

Line chart of £ '000 showing UK house prices rise sharply in November

Nationally, average property prices rose sharply despite continued weakness in the London housing market, as people in the capital looked to move to bigger and less crowded places, driven partly by the shift to homeworking.

London annual house price growth was only 1 per cent last month, in contrast with a 15 per cent rise in Wales and 10 per cent in Northern Ireland.

Since the onset of the pandemic in March 2020, and the UK first entering lockdown, house prices have risen by £34,000, which equates to £1,700 per month.

As a result, buying a property in Wales has never been so expensive, with the average house price breaking through the £200,000 barrier for the first time since records began.

The Halifax figures showed the pandemic housing market boom has stretched beyond the stamp duty holiday.

The holiday, introduced in July 2020 after the first coronavirus lockdown, granted homebuyers a tax break on the first £500,000 of any property purchase in England or Northern Ireland. The tax-free limit was halved to £250,000 at the end of June this year before ceasing in October.

Anna Clare Harper, chief executive of property consultancy SPI Capital, said that while the temporary stamp duty reduction “acted as a catalyst”, it was “not the cause of recent house price growth”.

Nathan Emerson, chief executive of Propertymark, an industry body, said estate agents had reported “the lowest levels of available homes to buy that we have seen to date”.

The “effective” interest rate, the actual interest rate paid, on mortgages fell in October to its lowest since records began, according to separate data from the Bank of England.

While the Omicron coronavirus variant adds uncertainty over the outlook of the property market, Andrew Wishart, property economist at Capital Economics, said it could, in fact, end up boosting house prices.

Continuing concern around the virus could support demand for housing via low interest rates for longer, as people carry on looking for more space and strengthen household savings.

But Galley, from Halifax, said that he does not expect the current rate of growth to last next year because “house price to income ratios are already historically high, and household budgets are only likely to come under greater pressure in the coming months”, due to rising inflation and high energy costs.



Source link

20 Comments
  1. Aacexs says

    oral lanoxin 250 mg – buy furosemide generic diuretic lasix ca

  2. Zbmgdq says

    order lopressor 50mg generic – where to buy telmisartan without a prescription buy adalat 30mg sale

  3. Ytjfvn says

    hydrochlorothiazide 25mg tablet – order microzide 25mg sale buy bisoprolol pills

  4. kamagra oral jelly buy online says

    How can I verify the online pharmacy’s commitment to customer confidentiality and discretion kamagra effervescent?

  5. Xgyqmd says

    brand nitroglycerin – combipres price buy valsartan generic

  6. Mluboj says

    simvastatin prey – tricor armor atorvastatin bell

  7. Wlpgzt says

    rosuvastatin pills percy – caduet buy lie caduet buy command

  8. Akqdvi says

    buy viagra professional mister – kamagra dollar levitra oral jelly online gentle

  9. Xgkgxs says

    dapoxetine gear – fildena slow cialis with dapoxetine smile

  10. Dmwkni says

    cenforce online desperate – kamagra conscious brand viagra pills wand

  11. Ddsqxj says

    brand cialis pressure – forzest activity penisole accompany

  12. cenforce iskustva says

    Are there medications with specific formulations for individuals with swallowing difficulties cenforce 200mg pills?

  13. Qkcuuw says

    cialis soft tabs online obvious – levitra soft online shape viagra oral jelly online soft

  14. Ggdhut says

    cialis soft tabs online cat – tadarise pills patrician viagra oral jelly born

  15. Jtbiwd says

    dapoxetine key – aurogra drop cialis with dapoxetine history

  16. Reogqw says

    cenforce online mountain – kamagra online employ brand viagra encourage

  17. Ikdjqd says

    inhalers for asthma region – inhalers for asthma steel inhalers for asthma thief

  18. Opfvpf says

    acne treatment short – acne medication twitch acne medication impatient

  19. Pydnyd says

    pills for treat prostatitis acknowledge – prostatitis medications protect pills for treat prostatitis lucky

  20. Nmbzjb says

    treatment for uti measure – uti antibiotics lick uti treatment how

Leave A Reply

Your email address will not be published.