UK House prices set a new record
Halifax has recently revealed the latest data about the growth in UK house prices. The data shows that UK house prices increased at the fastest pace since June 2016. During October, average house prices across the UK exceeded £250k for the first time in history.
The lender exposed that house prices in October were 0.3% higher than in September. And house prices in the latest quarter (August to October) were 4.0% higher than in the preceding three months. While house prices in October were 7.5% higher than in the same month a year earlier – the strongest growth in over four years.
People are not certain what will happen to the economy in next few months due to renewed restrictions to contain the coronavirus.
Why is the UK house price increasing?
Halifax’s Russell Galley said:
“Government support measures have undoubtedly helped to delay the expected downturn in the housing market, but they will not continue indefinitely and as we move through autumn and into winter, the economic landscape remains uncertain”. I don’t believe so”, he added.”After all, the stamp duty holiday is still in play and the government has confirmed buyers and renters can still move houses throughout November.”
Jamie Johnson, CEO of FJP Investment adds:
“The property market is moving from strength to strength. Amidst the uncertainty, buyer demand for bricks and mortar is pushing prices to record highs. Nationwide revealed this last week and Halifax has confirmed these latest movements today with month-on-month and year-on-year increases.”
Property analysts are anticipating the rate of house price growth to slow down in November. However, it will no doubt continue to remain in positive territory. People are clearly looking to invest in safe and secure assets during this uncertain climate.