The latest house price figures have been released by Halifax for the month of March showing a 2.7% annual increase and 1.5% growth month on month putting the average property value across the UK at £227,871. Although the quarterly change saw a 0.1% drop, this surprising monthly increase shows positive signs for the months ahead in the housing market.
There has been an increase in the number of mortgage approvals as mortgages across the UK are at their most affordable in over a decade. This is good news for homeowners as it makes buying a property more affordable, yet low housing stock for sale persists despite the 101,000 monthly sale figures each month in 2018.
There hasn’t been such a high monthly increase since August 2017, which is an encouraging sign for homeowners who are thinking about listing now as we enter into the busiest time of the year for buying and selling properties.
While we have seen a tentative start to the year, it would seem that the spring is starting to return to the step of the UK market where price growth is concerned.
Although market activity over the first quarter has remained fairly flat, there are signs that momentum is beginning to build and we should see a degree of stability return over the coming quarter.
The current affordability of mortgages, coupled with a reduction in unemployment and an insufficient level of housing stock, will continue to stimulate the market and price growth should exceed wider predictions over the latter part of the year.Russell Quirk