In terms of month-on-month price change, the UK housing market has seen a great deal of fluctuation this year. However, according to the latest House Price Index from Halifax, house price growth strengthened once again in October thanks to greater levels of housing demand.
October 2015's results showed that UK house prices rose by 1.1% from September, reversing the previous month's decline of 0.9% and highlighting the current volatility of the housing market. Annual growth was also very impressive, increasing by 9.7% since October 2014 – the strongest annual growth recorded so far this year. This puts the average house price in the UK at £205,240, up from September's average of £202,931.
This boost has been attributed to growing housing demand, which has been fuelled by "improving economic conditions and household finances, together with sustained low mortgage rates", claimed Martin Ellis of Halifax. And these price rises are largely expected to continue: the most recent quarterly Housing Market Confidence Tracker from Halifax revealed that over two-thirds (68%) of Britons anticipated rising housing prices over the next 12 months, with just 5% predicting that they will be lower. This is due to a continued demand/supply imbalance, explained Martin Ellis, "[which will] maintain upward pressure on house prices".
As house prices are expected to continue to rise over the next year, if you are planning to buy a property or move home, you may want to think about doing it sooner rather than later.
Get yourself ready by saving as much as you can for that all-important deposit: check out our top savings accounts and see if you can build up a decent savings pot to put towards your dream home. A regular savings account or a notice account may be ideal for this purpose: these accounts usually limit withdrawals but tend to allow additions, which means you can accumulate a decent pot over a longer period of time.
Once you have the money saved and ready to go, it's time to hunt down a great mortgage deal. Rates are still temptingly low, so snapping up a good deal before they increase in anticipation of a base rate rise could be a cost-effective move. If you're looking to buy your first home, check out our top first-time buyers' mortgages, and if you are moving home, take a look at our pick of the best mortgage deals. If you get prepared early enough and manage to find the right property, you could start the new year in a new home!
Check out the top first-time buyer mortgages
Find a savings account to build up a deposit
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