Today’s latest index from Halifax saw house prices climb by 0.2% on a month to month basis hitting a new record high.
Year-on-year prices are up +3.9%, easing from +4.6% in September with the average typical property now costing ยฃ293,999, surpassing previous peak set in June 2022 of ยฃ293,507.
Guy Gittins, CEO of Foxtons, said, โA fourth consecutive month of positive growth demonstrates the current strength of the UK property market and now that the dust has settled on last weekโs Autumn Budget, the outlook continues to be very positive.
While homebuyers were understandably disappointed about the lack of a stamp duty relief extension last week, the vast majority have already factored this increased cost into their plans for 2025 and those currently looking to purchase still have time to complete before the deadline at the end of March next year.
As a result, we can expect the heightened level of market activity seen this year to continue, with momentum strengthening as we head into 2025, further elevated by forecast interest rate reductions, the first of which could be seen as soon as today.โ
Director of Benham and Reeves, Marc von Grundherr, said, โA degree of property market hesitation is always to be expected in the run up to a major economic event such as the Autumn Budget. Despite this, house prices have continued to climb, albeit at a slower rate, but this demonstrates the intent that is currently being shown on both the side of buyers and sellers in the current market.โ
CEO of Yopa, Verona Frankish, added, โAlthough the market may have taken a brief pause for breath ahead of the Autumn Budget, we expect to see activity increase considerably between now and the end of March next year, as homebuyers look to make their move before stamp duty relief reverts back to previous thresholds.
This means weโre in for a very strong end to 2024 and we can expect an accelerated rate of house price growth to materialise over the coming months as a result.โ
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