< Back to blog

UK average house prices increase to record highs Posted On 20 November 2020

Average house price increases by 4.7% over the year to September

 

According to the latest UK House Price Index from the ONS and the Land Registry, average UK house prices rose by 4.7%, up from 3.0% in August to a record high of £245,000.

 

This comes before a second boost to the property market from lockdown 2.0 which has increased property demand similar to the boost the market received when restrictions were removed at the end of the first lockdown, and with the Stamp Duty Holiday still running, more people than ever are looking to move which has helped push up the average UK house price.

 

Overall, average house prices increased over the year by 4.9% in England, 3.8% in Wales, 4.3% in Scotland, and 2.4% in Northern Ireland. The South West was the English region with the highest annual house price growth, with average prices increasing by 6.4% to £275,000 in the year to September, up from 3.2% in August. While London’s average house prices hit a record high of £496,000.

 

On a non-seasonally adjusted basis, the average house price in the UK increased by 1.7% between August and September 2020, compared with an increase of just 0.1% in the same period a year ago.

 

Paul Stockwell, chief commercial officer at Gatehouse Bank, commented: “As predicted, house price growth has intensified in September fuelled by pent-up demand coupled with significant cost-savings to buyers presented by the stamp duty holiday. I expect this trend will continue in the short term as buyers feel the urgency to secure property deals and allow time for completion before the tax break ends.

 

“What began as a disastrous year for the property industry has been turned on its head by government interventions, creating a surge of demand predominantly in England and Northern Ireland where the stamp duty reduction is greatest. This in itself has presented new challenges to the industry with property portal Zoopla estimating 418,000 sales in the pipeline nationally, 50 per cent more than the typical number for this time of year.

 

“Bank of England data has already indicated that mortgage approvals in September represented the highest levels of agreed borrowing since before the Global Financial Crisis more than a decade ago. But as pressure on the property industry resources grows, it will be interesting to see if the Government concedes to requests from the industry to extend the stamp duty holiday and alleviate the expected congestion in the new year.”

 

Contact us today, to discuss a FREE valuation and the Stamp Duty Holiday…

 

< Back to blog

Connect with us

Recent Posts

You’ve got a Friend in Me

Celebrate International Day of Friendship with your best ones   Friendships help our lives have purpose and meaning. Research has shown that having strong friendships can allow us to live longer, be happier and lead healthier lives. When you are younger, your family are your first port of call for advice and care. As we …

Read more...

Melt-proof your Make-up

How to beat the July heat   Heat and humidity aren’t your best friends when it comes to creating a flawless make-up look. Panda eyes from mascara tracks making their way slowly down your cheeks, oily skin where your foundation has become smudged and is now offering a patchwork effect rather than coverage. Combine this …

Read more...

Having Fun from Home this Summer

As we approach another British Summer, attention will inevitably turn to occupying the kids throughout the school holidays   We know how hard it can be to continue to entertain them, so take a look at our list of recommended activities to get them excited, without having to leave your home.   Get Creative If …

Read more...

DIY or better yet DIT (Do it together)

Projects your Kids can help with   Completing a task together is a great chance to bond with your kids and the sense of accomplishment you will both feel when you have created something together is unbeatable. Getting kids involved with small scale DIY, or the newly named DIT, projects will build up a bank …

Read more...

A Decluttered Home leads to a decluttered Mind

Easy Decluttering Tips   Clutter can easily build-up. The unopened post by the front door. The shoes which seem to be littered in every room of the house. The items you use all the time which never seem to find a home. Living in a space which seems ‘full’ or ‘busy’ means it can be …

Read more...