According to an article I came across on the Guardian website, UK house prices showed a slight cooling in the market last month. The article quotes recent figures released by Halifax, revealing an average price rise of 0.1%.
The lender believes these are “tentative signs” that there’s an improved balance between demand and supply, and if this continues it might assist in dampening the pace of price growth.
The average August house price stood at £186,270; a 9.7% increase on the same month in 2013. Between then and the end of June 2014, the yearly rate rose from around 5% to nearly 9%.
There has also been evidence of an increase in second-hand properties coming on to the market, in addition to the large number of new homes.
These figures reinforce the view that property prices will keep on rising over the months to come, but perhaps at a more restrained rate than they have done previously. The market is likely to stay relatively healthy, even though the figures aren’t soaring. Howard Archer, of economic and financial analysis firm IHS Global Insight, says this is due to increased customer confidence, the rise in employment, low mortgage rates and the Help to Buy scheme.
August is a notoriously quiet month, but this data points to a “less frenzied” market, which is great news for buyers.
If you have put your house hunting on hold over the summer, perhaps now is the perfect time to start looking once more. If this information is anything to go by, there will be more houses coming on to the market to meet the demand.