Take a look
UK homeowners have seen the value of their homes increase by more than 40% and almost £60,000 over the past eight years, as they’ve benefitted from a “once-in-a-generation” record low interest rate environment.
According to research carried out by online estate agents HouseSimple.com, average UK property prices have risen 41.2% since the Bank of England dropped interest rates to 0.5% in March 2009, and then dropped them further to 0.25% in August 2016. Average prices in Cambridge have almost doubled since March 2009, while average London prices have broken through the £500,000 ceiling.
But this golden period of house price growth could be drawing to an end. With three members of the Bank of England’s Monetary Policy Committee (MPC) voting for an interest rate rise in June, and inflation steadily rising, we could be close to the first rate rise in almost 100 months.
The following table shows the UK towns and cities that have seen the biggest rises in average property prices since interest rates fell to 0.5% in March 2009:
|Town/City||Region||Average Property Price – March 2009 (£)||Average Property Price – April 2017 (£)||% Increase in property price|
|Milton Keynes||South East||147,903||262,241||77.3|