UK house prices rise by 5.4%

Nathan Kay 14 November 2017 NEWS

North West of England had the fastest growth while London recorded the slowest.

House prices have risen by 5.4% since the beginning of 2017, it has been announced.

According to official figures from the Office for National Statistics, house price growth was the fastest in the North West of England, while London recorded the slowest growth.

House prices increased by 7.3% up until the end of September of this year in the North West of England. In London, the rise was just 2.5%, according to the BBC.

Property prices have improved in major cities around the country including Manchester, and continue to rise throughout the United Kingdom despite Brexit looming.

Official data shows that the average UK house price was £226,000 in September 2017, which was £11,000 higher than in the same period last year.

Rising house prices, higher mortgage rates and stricter demands over lending has made purchasing a house in the UK much harder than it was ten years ago, especially for first-time buyers.

Figures from UK Finance show that 31,100 loans were granted in September, down 10% on the previous month and 1% on the same month in 2016.

Experts claim the figure reflects that the younger generation, referred to as ‘millennials’, prefer to rent rather than buy because prices are too high.

Rentals rose by 1.5% in the 12 months to October of this year, slightly down from 1.6% in September, according to official ONS figures.

However, we recently revealed how the number of first-time buyer mortgages approved during the month of August increased by 16%.

Official figures showed that buyers borrowed £5.7 billion in total, a 16% increase on the previous month and 12% more than in August, 2016.

The results show that despite the threat of Brexit the housing market performing relatively well. However, experts claim once Britain does leave the European Union house prices could start to fall – which, of course, is good news for buyers.

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