The figures from Halifax revealed that on a monthly basis, house prices saw a modest 1.0% rise and during the latest quarter (September to November) house prices were 0.2% higher than in the preceding three months (June to August)
Mortgage approvals dipped from September with Bank of England figures showing that the number of mortgages approved to finance house purchases were 64,602 in October – this represents a 1.8% month on month fall, following a slight rise of 0.3% in September. Year on year growth is -3.3%. (Source: Bank of England, seasonally-adjusted figures)
Russell Galley, Managing Director, Halifax, comments: “Average house prices rebounded somewhat in November, with annual growth of 2.1% being driven by the biggest monthly rise since February, following two months of modest falls.
Prices are now up by £3,904 since the start of the year. While a degree of uncertainty remains evident, it’s also clear that buyers and sellers are responding to factors such as improved mortgage affordability and the limited supply of available properties.
It is these issues which we believe will continue to underpin the resilience evident in the market for most of 2019. Over the medium term we expect the emerging trend of modest gains to continue into next year.”
Lucy Pendleton, founder director of independent estate agents James Pendleton, comments: “House prices have been trending lower throughout the year but this autumn bounce in growth means the decade may not be going out with a whimper after all.
It shows that time could well be running out for first-time buyers who may have to move more swiftly before this window of opportunity closes after a long period of contracting prices, particularly in the South.
Contributing to the pick up in the annual pace of growth is the London market, which has started to bubble away again.
In the capital, a big jump in the number of sales going to best-and-final offers is going hand in hand with increasing footfall through front doors as buyers’ appetites return.
Steady year-on-year growth in transaction levels of late is also adding to confidence that recent outright annual falls in price, particularly in London and the South East, won’t necessarily become a self-fulfilling final destination for other regions of the country, many of which have continued to rise in value.
The capital has always been a bellwether for the wider market, so as night follows day, barring any Brexit-related cataclysms, current trends should be positive news for homeowners nationwide in early 2020.
If the UK gets Brexit done anything is possible next year.”
