UK House Prices Rise By 0.8% In July

UK hours prices rose by 0.8% in July, with the average house price increasing from £289,402 in June to £291,268. This led the annual growth rate to climb to 2.3% - the highest it has been this year.

UK house prices rose in July, with a growth of 0.8% compared to only 0.1-0.2% increases in the previous 3 months. The annual growth rate has now hit 2.3%, the highest that it has been since January.

With the recent Bank of England base rate cut, and a number of major lenders reducing mortgage rates, these are positive developments for prospective buyers and for the market itself.

“With lower mortgage rates and the potential for further base rate reductions, we expect house prices to continue a modest upward trend throughout the rest of this year.”
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Amanda Bryden, Head of Mortgages at Halifax

Just last week, the Bank of England reduced interest rates from 5.25% down to 5%, which is the first cut in the last four and a half years. Following this, several major lenders lowered their rates, offering some of the best deals that potential buyers have seen in months.

“UK house prices found their mojo again rising by on average £2,226 or 0.8% in July, and annual house price inflation at 2.3% is the highest it’s been so far this year, implying the value of the average house has increased by £6,650 over the last 12 months.
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“Labour is looking to get Britain building, but it also looks like it is also getting house prices moving. Last week we saw the first Bank rate cut, and we believe that mortgage rates will trend down over the coming months. If we throw into the mix wages rising and cost of living pressures easing, it looks likely that house prices will continue to rise.”
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Anthony Codling, Managing Director, Equity Research, RBC Capital Markets.

If you’ve been waiting for rates to drop before buying property, now is your time to act. Reach out to our expert property consultant team today for advice on the current market and how you can benefit.

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