Nationwide’s most recent House Price Index has uncovered a four-year high price growth in the UK – meaning that your home could be worth more than ever.
Analysis from their report shows that average property values grew by 5% annually in September and 0.9% monthly, taking the national average to £226,129.
This is the highest annual price growth we’ve seen since September 2016.
The South West was the strongest performing region (5.5%), closely followed by Outer Metropolitan (5%), Outer South East (4.8%), Yorkshire and Humberside (4.6%) and London (4.4%) – which all made the top five in terms of price growth.
Average prices in the capital have now hit a record high of £480,857, which is 57% above their 2007 levels.
Meanwhile in the rest of the UK, price growth has been reported as follows: North (4.2%), East Midlands (4%), Wales (3.8%), West Midlands (3.1%), North West (3%) and East Anglia (2.7%).
Whilst all regions have shown an annual increase, the areas demonstrating the smallest growth percentage are Scotland and Northern Ireland at 2% and 1.5%, respectively.
What can we take away from these findings?
“Housing market activity has recovered strongly in recent months,” comments chief economist at Nationwide – Robert Gardner – who suggests that behavioural shifts are a key contributing factor as people reassess their housing needs in 2020.
Whilst Iain McKenzie, chief executive of The Guild of Property Professionals, claims that: “the current rise in housing prices shows a short-term spike with it returning to a more fluid marketplace in the next two or three months.
“The housing market has been resistant for a number of years despite having to contend with things such as Brexit and now the pandemic.”
For this reason, McKenzie predicts that although there will be bumps down the road, he suggest that “if there is a decline in the future, it will be a short decline and the market should bounce back very quickly because of positive consumer sentiment and pent-up demand.”
Have you made the decision to sell your house this year?
During an updated market appraisal, we will assess how your home will perform on market, as well as what price you can realistically expect to achieve in light of recent demand and price growth.
For the full report, visit: www.nationwide.co.uk/about/house-price-index/headlines