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House prices grow at fastest rate since start of year

Published 07/08/2024, 07:39
Updated 07/08/2024, 08:10
© Reuters.  House prices grow at fastest rate since start of year

Proactive Investors - UK house prices ticked higher in July after three previous months of staying flat, helped by strong rises in the North West and Northern Ireland, the latest Halifax house price index revealed.

Overall, prices increased by 0.8% last month compared to June, with values of homes expected to increase further after the Bank of England decided to cut interest rates at the start of the month, making it easier for Brits to get a mortgage.

Annually, home prices have jumped by 2.3%, representing the largest increase year-on-year since January and causing the average house price to reach £291,268.

Northern Ireland experienced the sharpest rise out of any region, with prices 5.8% ahead of where they were a year ago, while the North West saw home values jump 4.1% compared to 2023.

Amanda Bryden, head of mortgages at Halifax, said: "Last week’s Bank of England’s Base Rate cut, which follows recent reductions in mortgage rates, is encouraging for those looking to remortgage, purchase a first home or move along the housing ladder.

"However, affordability constraints and the lack of available properties continue to pose challenges for prospective homeowners.

“Against the backdrop of lower mortgage rates and potential further Base Rate reductions, we anticipate house prices to continue a modest upward trend throughout the remainder of this year.”

Read more on Proactive Investors UK

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