The first house price figures for 2017 have been released in the Land Registry’s latest Index proving optimism in the property market for the year ahead following a turbulent 2016. The average property price in the UK is £218,255 – a 0.8% increase month on month and a 6.2% increase annually.
London’s monthly change jumped 3%, the South East by 2.4% and Scotland by 2%, while the East of England enjoyed an annual growth of 9.4% followed by the South East at 8.7%.
Although mortgage based indices like Halifax and Nationwide offer an indication on how the market is behaving, this first set of 2017 data from the Government provides a concrete look on how the market has emerged from an up and down 2016.
Despite the seasonal lull towards the end of the year, prices have continued their upward trend and the market looks strong heading into 2017. This continued growth does hinge on next Wednesday’s triggering of Article 50 however. Although many predict an apocalyptic end to the world, there is also a chance it will further stabilise the market as the current period of Brexit limbo experienced since last June will finally come to a close.
In many cases, the uncertainty of an outcome can be far more detrimental than the outcome itself and it is clear that many buyers and sellers have been holding tight on a sale until a decision is made. Despite this, it is actually the markets like the South East and London in particular where the most detrimental impacts of Brexit have been forecast that have continued to see the strongest price growth.Russell Quirk