Sunday, 24 October 2021

Average house price the highest on record

Average house price the highest on record

HOUSE prices hit a record high in August, but the pace of year-on-year growth is continuing to slow.

According to the latest Halifax house price index, the average UK property price is now £262,954 — the highest on record.

This represents an increase of 7.1 per cent on the same time last year.

Halifax managing director Russell Galley said: “Much of the impact from the stamp duty holiday has now left the market, as highlighted by the drop in industry transaction numbers compared to a year ago.

“However, while such Government schemes have provided vital stimulus, there have also been other significant drivers of house price inflation.

“We believe structural factors have driven record levels of buyer activity — such as the demand for more space amid greater home working.

“These trends look set to persist and the price gains made since the start of the pandemic are unlikely to be reversed once the remaining tax break comes to an end later this month.

“What’s more, the economy is becoming increasingly positive, with job vacancies at a record high and consumer confidence returning to pre-pandemic levels.

“Coupled with a supply of properties for sale that looks increasingly tight, and barring any reimposition of lockdown measures or a significant increase in unemployment as job support schemes are unwound later this year, these factors should continue to support prices in the near-term.”

Property