Posts with tag: property growth

House price growth rises again

Published On: February 5, 2016 at 10:38 am


Categories: Property News

Tags: ,,,,

The January Index from the Halifax indicates that house price growth continued to accelerate in Britain during the last three months.

Data from the report shows that house values rose by 2.2% in the period, taking the average value to £212,430. Prices were also found to be up 9.7% year-on-year and by 1.7% compared to December 2015.

Upward pressure

Martin Ellis, Housing Economist at the Halifax, said that the quarterly increase followed two months of below 2% rises.

‘The imbalance between supply and demand continues to exert significant upward pressure on house prices,’ Ellis noted. ‘This situation looks set to persist over the coming months. Further ahead, increasing affordability issues, as price increases continue to exceed wage growth, are likely to curb housing demand and cause price growth to ease.’[1]

Mr Ellis went on to say that confidence in market remains strong, according to the most recent Halifax Housing Market Confidence Tracker. The final quarter of 2015 showed that a majority of people believe that typical property values will be higher in twelve months time.

Supply shortage

An increase in price growth is being driven by a lack of supply, according to Randeesh Sandhu, Chief Executive Officer of finance provider Urban Exposure. Sandhu also noted that the lack of housing supply is due to developers having a lack of skills and key materials.

‘Far more needs to be done to boost development, particularly in London where average house prices in over half of London neighbourhoods are now £500,000 or more,’ he observed.[1]

Rob Weaver, director of Investments at property crowdfunding platform Property Patner, agrees with Sandhu’s observation. He also said that sales in central London continue to drop off, but those in the outer boroughs are thriving.

‘Potential buyers are hunting for more affordable housing, attracted by regeneration in places like Thamesmead and Woolwich and of course, Crossrail,’ Weaver said. ‘We’re also seeing a spike in activity in the market as buy to let landlords rush to seal deals before the stamp duty 3% hike in April.’[1]

House price growth rises again

House price growth rises again


‘Britain simply can’t build homes fast enough to keep up with demand,’ observed Jonathan Hopper, Managing Director of Garrington Property Finders. ‘With demand likely to be boosted even further by the Bank of England’s admission that an interest rate rise could remain firmly off the table for the rest of the year, 2016’s strong start is unlikely to be a blip.’[1]

Mark Posniak, MD of Dragonfly Property Finance, believes that further house price growth is almost inevitable. He said, ‘with interest rates unlikely to move for some time and people generally confident about their jobs and the economy, demand is also very strong. People’s fear of being priced out of the market is tangible at present. This is especially the case in London and the South East.’[1]

‘While logic suggests house price growth will ease as affordability issues increase, our relationship with the property market is nothing if not emotive. Prices rise in this way only adds to demand and so the growth continues,’ he added.[1]



Asking prices for UK property rise again

Published On: May 13, 2015 at 12:42 pm


Categories: Property News

Tags: ,,

Despite perceived market uncertainty due to the general election, a latest index report has indicated that asking prices for property in the UK actually rose during the last month.

According to data from, average property prices across England, Scotland and Wales increased over the previous month, suggesting continuing confidence in the housing market.


Information from the report shows that there was even a small growth in lacklustre regions such as the North West and the North East, both up by 0.6%. On average, the asking price of houses in England and Wales rose by 0.8% during the last month.[1]

A Tory victory brought more encouragement to the housing market, particularly for first-time buyers, who will be buoyed by the continued Help to Buy scheme and the promised Help to Buy ISA, scheduled for the Autumn. In addition, the extension of the Right to Buy scheme to housing association members, alongside increased home building, has also raised confidence.

Encouragingly, the data showed that supply of property for sale is up by 8% across the UK, in comparison to one year ago. The East of England was found to be the fastest moving market over the last year, with the average time a house spent on the market down by 15%.[2]

Asking prices for UK property rise again

Asking prices for UK property rise again

Improved year

Doug Shephard, Director of believes that this year has started extremely positively, commenting, ‘2015 is already looking like a more sensible and sustainable year for the UK property market.’ He continued by suggesting that,’ confidence is growing in the northern regions and the London market has managed to exit a period of frenzied growth without a major catastrophe.’[3]

Shephard believes that, ‘now we have the election out of the way, much uncertainty in the market has evaporated. Moreover, property prices are rising at a far more sustainable rate than we witnessed last year.’[4]

He also indicated that he feels that the buy-to-let market in particular was grow at a substantial rate, with no threat of Labour induced rent caps. Additionally, Shephard feels that 2015 and 2016 will be steadier for the property market, with steady price increases, more mortgages available and quicker sales.