As we approach Halloween, the property market is continuing to recover. House prices rose by 0.4% in September, following a 0.3% increase in August. This is the fourth consecutive month of price growth.
The increase in prices was driven by a number of factors, including the continued progress of the vaccine rollout, the reopening of the economy, and low mortgage rates.
Across the UK, prices rose by 0.4% in September. This is in line with the national trend.
The stamp duty holiday has now come to an end, but this has not dampened demand for properties. Buyers are still looking to move, and sellers are still keen to sell.
Regional breakdown
Here is a breakdown of housing activity across Scotland, Wales, the North of England, the Midlands, London, the South East and the South West:
Scotland: House prices rose by 0.6% in September, the strongest monthly growth in the country.
Wales: House prices rose by 0.3% in September, slightly below the national average.
North of England: House prices rose by 0.2% in September, the weakest monthly growth in the country.
Midlands: House prices rose by 0.5% in September, in line with the national average.
London: House prices rose by 0.1% in September, the slowest monthly growth in the capital.
South East: House prices rose by 0.4% in September, slightly above the national average.
South West: House prices rose by 0.5% in September, in line with the national average.
Outlook
The property market is expected to continue to recover in the coming months, as the economy continues to improve and the stamp duty holiday comes to an end. However, there are some risks to the outlook, such as the rising cost of living and the potential for interest rates to rise.
The end of the stamp duty holiday is likely to lead to a slowdown in the market, as buyers will no longer be able to save money on their purchases. However, the underlying demand for property is still strong, so prices are not expected to fall significantly.
The rising cost of living is another risk to the outlook. If wages do not keep pace with inflation, it could make it more difficult for people to afford to buy a home.
The potential for interest rates to rise is also a risk. If interest rates rise, it will make it more expensive to borrow money, which could also dampen demand for property.
Overall, the outlook for the property market is positive. However, there are some risks that could weigh on prices in the coming months.
Here are some additional things to keep in mind:
The government has introduced a number of measures to help first-time buyers, such as the Help to Buy scheme. This could boost demand for property in the coming months.
The number of new homes being built is still relatively low, which could also help to keep prices up.
Overall, the property market is in a good position, and there are still some great deals to be had. However, buyers should be prepared to act quickly, as the market is starting to move.
Happy Halloween!
I hope you all have a safe and spooky Halloween. And if you're thinking about moving house, now is a great time to start looking!
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