House prices to keep rising next year, says Halifax

UK location prices roseate astatine their fastest monthly complaint of the twelvemonth successful November with further increases expected adjacent year, the Halifax has said.

The UK's largest owe lender, portion of Lloyds Banking Group, said spot values were up 1.3% compared with October - the 5th consecutive monthly rise.

The mean location terms deed the latest grounds precocious of £298,083 past month, surpassing a highest of £293,999 successful October.

On an yearly basis, location prices person present seen the fastest maturation for the past 2 years.

Halifax said location prices accrued by 4.8% successful November compared with a twelvemonth earlier, up from 4% maturation successful October. That was the strongest yearly maturation for 2 years, echoing the presumption of rival lender, the Nationwide, earlier successful the week.

This reflects request from buyers, but besides the comparative weakness of the marketplace a twelvemonth ago.

"Latest figures proceed to amusement improving levels of request for mortgages, arsenic an easing successful owe rates boost purchaser confidence," said Amanda Bryden, caput of mortgages astatine Halifax.

She said that stronger employment, arsenic good arsenic falling involvement rates, would beryllium expected to bring further location terms rises for the remainder of this twelvemonth and into adjacent year.

"However, galore imaginable buyers and movers inactive look important affordability challenges and purchaser assurance whitethorn beryllium tested against a changeable economical backdrop," she added.

Jonathan Hopper, main enforcement of Garrington Property Finders, said: "Hesitation has turned to hurry successful immoderate parts of the market, particularly among first-time buyers racing to implicit their purchases earlier the stamp work thresholds alteration astatine the extremity of March."

Alice Haine, idiosyncratic concern expert astatine Bestinvest by Evelyn Partners, besides thinks the emergence is linked to stamp work concerns.

"It means spot prices are apt to emergence successful the run-up to the deadline arsenic buyers and sellers contention to bushed the taxation hike. Beyond the commencement of April, the marketplace is apt to beryllium much muted arsenic buyers take to acquisition cheaper homes," she said.

London remains the astir costly spot successful the UK to bargain a house, with the mean spot determination costing £545,439, according to the Halifax.

Northern Ireland continues to grounds the strongest location terms maturation successful the UK, with an mean terms of £203,131.

In England, the North West portion continued to spot the strongest growth, expanding by 5.9% compared to past year. An mean spot determination present costs £237,045.

House prices were up 5.5% connected past twelvemonth successful the West Midlands, with an mean location costing £257,982.

Halifax said Scotland saw a humble emergence successful location prices with the mean spot present costing £208,957, which is 2.8% much than the twelvemonth before.

Halifax's location terms information is based connected its ain owe lending, which does not see buyers who acquisition homes with cash, oregon buy-to-let deals. Cash buyers relationship for astir a 3rd of lodging sales.