Property buyers who are still looking for their dream house might want to speed up their search, as house prices are continuing to increase, having risen by nearly £25,000 over the last 12 months.
According to the latest House Price Index from Halifax, the average cost of a property in the UK was £276,759 in January 2022. This is 9.7 per cent more expensive than it was in January 2021 at £252,229.
The current value has set a record of the highest average house price, despite the monthly growth rate slowing to 0.3 per cent, which is the lowest level since June last year.
Managing director of Halifax Russell Galley noted this slowdown is likely to be because of the “peak activity of 2021” when the government axed stamp duty to encourage more people to get on the property ladder and reboot the economy following Covid-19 lockdowns.
Despite this tax break, Mr Galley said: “Younger generations still face significant barriers to home ownership as deposit requirements remain challenging.”
This is the result of an increase in the cost of living, interest rates, and mortgage fees, making it difficult for first-time buyers to save enough money for a deposit.
Mr Galley predicted house price growth will continue to slow over the next year, in spite of the limited supply of properties for sale propping up prices.
Homebuyers looking for houses for sale in Hull will be pleased to hear property prices for the city are considerably lower than the national average.
According to Zoopla, a typical Hull home sold for £157,988 over the last 12 months, with flats going for £82,798 while detached properties sold for £281,924.