UK House Prices Hit Record £299,331 as Market Shows Steady Growth

Published: 05 September. the English Chronicle Desk. English Chronicle Online

UK house prices have risen for the third consecutive month in August, pushing the average property value to a record high of £299,331, according to Halifax. The modest 0.3% increase for the month follows rises of 0.4% in July and 0.1% in June, demonstrating a steady momentum returning to the housing market.

While the month-on-month growth exceeded economists’ expectations of 0.1%, the annual rate of growth slowed slightly to 2.2%, down from 2.5% in July. Economists had projected a 2% rise for August. Halifax’s head of mortgages, Amanda Bryden, described the market as “stable,” noting that since January, property prices have increased by less than £600, reflecting resilience despite broader economic uncertainties.

The report also highlighted regional variations across the UK. The south-west of England recorded a 0.8% annual decline in house prices, marking the first region to see a fall since the east of England experienced a similar trend in July of the previous year. Conversely, Northern Ireland continues to lead the UK in growth, with average prices rising 8.1% over the past year, although this is slightly lower than the 9.3% recorded in July. Scotland saw house prices increase by 4.9% annually, while Wales recorded a 1.6% rise. London experienced modest growth of 0.8% over the year, maintaining the highest average property price in the UK at £541,615.

Industry experts pointed to a combination of factors underpinning the market’s resilience. Nathan Emerson, chief executive of Propertymark, emphasized that higher listing numbers, more sales agreed, and increased stock levels compared to last year, alongside targeted support for first-time buyers from some banks, indicate a steady housing market.

However, potential government interventions, including proposed reforms to stamp duty and the possibility of landlords contributing to national insurance, could influence buyer behaviour. Verona Frankish, chief executive of Yopa, noted that “the prospect of a stamp duty reform is a powerful incentive which may temper this usual seasonal surge in activity, at least until the dust has settled on the autumn budget.” Chancellor Rachel Reeves is scheduled to present her budget speech on 26 November, which may clarify the outlook for buyers and sellers.