With Halifax reporting mixed messages about the UK housing market, it’s about time that we looked at what is actually happening with the prices of homes all over the UK.
As it stands, the average house price has increased by 5.8% in the previous year to February, a small rise from the 5.3% we saw in the year to January. However, this is nothing on the massive 7.3% average we saw in 2016 across the whole UK. So, just where will the prices really go?
Buyers Vs. Sellers
When it comes to selling and buying properties, someone always loses out. The UK property market has been up and down for as long as we have known it and in a situation that involves high stakes, there is always someone who has the upper hand.
At the moment, the average house price stands at £219,755 with house prices rising at the slowest rates we’ve ever seen. Looking at Halifax’s current statistics, “house prices in the three months to March were 0.1% higher than in the previous quarter” putting it at the lowest rate of growth since October 2016.
Good news for buyers who are looking to grab a bargain, not so good for sellers who might be making a loss to pass over their house to new owners.
Fall in House Prices
As well as Halifax claiming that house prices have dropped, Nationwide are showing the same kind of signs with their figures. Although the house price has only dropped by 0.3%, it does give some hope that the UK property market is slowing down and will hopefully stay this way.
The Council of Mortgage Lenders (CML) also released figures stating that in February, house buying activity was up by 7%, showing a clear indication that buyers are cashing in on the drop in prices while they can. With home buying activity on the rise and prices slowly dropping, the property market could be heading in the right direction.
London Takes the Hit Again
While the whole UK seems to benefiting from the current state of property market, London has taken a financial hit once again. Although the cost of living in London always rises, year on year, there are some tell-tale signs that the capital is making some savings somewhere.
Just like we said in our previous blog post, London is seeing major changes due to Brexit and other factors.
RICS (The Royal Institute of Chartered Surveyors) released figures in mid-April that showed the real extent of house prices in London and showed that they are actually at the lowest rate they’ve ever been at. In the last five years, Central London has seen the slowest rate change ever with key factors like Brexit and tax increases being the indication.
Check back here next week to see where the property market has moved and how Brexit progression has changed the way the UK is working.
Get in Touch
If you are concerned about a recent property you checked out or you need assistance with mortgage valuations and more, call Chris Ledger today on 01983 731 198 or 07866 041 533.