London (Parliament Politics Magazine) – UK house prices hit a record high of £298,083 in November, with a 1.3% monthly increase, marking the fifth consecutive increase, although affordability remains a concern for many buyers, especially first-time purchasers.
According to the UK’s biggest mortgage lender, Britain house prices have hit a new record, with property values rising for the fifth month in a row.
Halifax’s latest house price index disclosed the average home price reached £298,083 in November, nearly £5,000 more than the previous record set in October.
Before the latest increase, the record average house price was £293,507 in June 2022.
The average house price increased by 1.3% in November, the largest rise this year and the fifth consecutive monthly increase.
The head of mortgages at Halifax, Amanda Bryden said, “UK house prices rose for the fifth month in a row in November, up by 1.3% in the month – the biggest increase so far this year. This pushed the annual growth rate up to 4.8%, its strongest level since November 2022.”
She added, “Latest figures continue to show improving levels of demand for mortgages, as an easing in mortgage rates boost buyer confidence.”
Ms Bryeden warned that even after the recent surge in house prices, affordability remains a major hurdle for potential buyers.
As reported by the Independent, Halifax reveals that Northern Ireland saw a 6.8% annual increase, the highest in Britain.
Values of properties in the North West of England saw the highest growth, increasing by 5.9%.
While house prices in Scotland saw a more modest annual hike of 2.8%, as compared to other regions of the UK.
With a 3.5% annual increase, London’s average house price reached £545,439, keeping it at the top of the UK’s housing market.
Nathan Emerson, chief executive of property professionals body Propertymark, stated “With interest rates now easing, many buyers will have increased confidence to approach the housing market.”
He added, “We are, however, likely to see a spike in homes for sale and those looking to move home, especially across England and Northern Ireland trying to complete before the rises to stamp duty commence from April 2025.”
Tom Bill, president of UK residential research at Knight Frank, said “An increase in borrowing costs and the disappearance of sub-4% mortgages in recent weeks means we expect downwards pressure on house prices to intensify next year.”
The personal finance analyst at Bestinvest by Evelyn Partners, Alice Haine stated, “The Prime Minister has doubled down on his pledge to boost living standards during his parliament and build 1.5 million new homes – measures that have the potential to improve people’s chances of being able to afford a home.”
A mortgage expert at wealth manager Quilter, Karen Noye said, “Recent data from the Bank of England has already pointed to rising mortgage approvals, which reached their highest level since mid-2022.”
Amy Reynolds, the head of sales at the estate agency Antony Roberts stated, “Those areas where there is limited stock to tempt buyers are seeing prices hold firm and indeed rising in some cases.”
Halifax reports the following average house prices and annual increases for November, East Midlands £242,282 (up 3.5%), Eastern England £335,063 (up 3.6%), London £545,439 (up 3.5%), North East £175,737 (up 4.4%), North West £237,045 (up 5.9%), Northern Ireland £203,131 (up 6.8%), Scotland £208,957 (up 2.8%), South East £388,534 (up 3.4%), South West £304,558 (up 3.7%), and Wales £225,084 (up 4.1%).