We’ve seen an unprecedented property market surge over the past 18 months, and the Halifax House Price Index has highlighted that as the stamp duty holiday draws to a close, UK property prices hit another all-time, record high in September.
According to the report, the average UK house price stands at £267,587 which is 7.4% up over the past year. However, experts have been advising that buyers hold off a couple of weeks to give time for any house prices to cool off and potentially dip.
Quoting from Russell Galley, Managing Director, Halifax, we read:
“UK house prices rose by 1.7% in September, adding more than £4,400 to the value of the average property.”
“This rate of monthly growth was the strongest since February 2007, pushing year-on-year house price inflation up to 7.4%. This also reversed the recent three-month downward trend in annual growth, which had peaked at an annual rate of 9.6% in May.”
“The price of an average house is now as expensive as it has ever been, standing at just over £267,500.”
When it comes to mortgages, there has certainly been a downtrend and Dean Esnard, director at London-based broker Magni Finance, said “August was definitely quieter than the months before.”
“September has picked up again although there is not as much intensity as buyers feel there is more room for negotiation now that the market has cooled down.”
In addition, Scott Taylor-Barr of Shropshire-based advice firm Carl Summers Financial Services, agreed: “August and September were certainly quieter on the applications front”.
With interest rates remaining low, something we are finding is that buyers are getting their mortgages approved in principle, so they can go property hunting with confidence.
A contributing factor could be how they also want to take advantage of cheap mortgage rates while they can as they won’t be around forever!
With demand for properties remaining high, if you are wanting to be in a good position as a buyer then we would certainly recommend having your mortgage agreement in principle at hand. This will be sure to put you in a strong buying position!