7th Nov 2024 07:17
(Alliance News) - UK house prices edged up to a record high in October, data published by Halifax showed Thursday.
The average house price rose by 0.2% monthly to GBP293,999 in October. It was up 3.9% from a year ago, when it stood at GBP283,053, however the annual growth slowed from 4.6% in September.
"Despite the affordability challenge, market activity has been improving. The number of new mortgages agreed recently reached its highest level in two years. This aligns with average mortgage rates dropping steadily since spring - now over 160 basis points lower than in summer 2023 – coupled with continued positive income growth," said Amanda Bryden, head of Mortgages at Halifax.
She added: "Looking ahead, borrowing constraints remain a challenge for many buyers. Following the budget, markets expect the Bank of England to cut rates more slowly than previously anticipated, which could keep mortgage costs higher for longer. New policies like higher stamp duty for second home buyers and a return to previous thresholds for first-time buyers might also affect demand. While we expect house prices to keep growing, it will likely be at a modest pace for the rest of this
year and into next."
By Tom Budszus, Alliance News slot editor
Comments and questions to [email protected]
Copyright 2024 Alliance News Ltd. All Rights Reserved.