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Upward Trend Forecast in UK Property Prices for Rest of 2024

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    House Prices Up 2.3% Annually and 0.8% Month-on-Month

    The latest Halifax House Price Index has revealed a snapshot of the UK property market in July.

    The data shows that house prices increased by 0.8% in July compared to the month before. This shows a return to stronger growth after three fairly flat months. This represents an increase of over £2200 compared to the previous month. The average property price is now £291,268 compared to £289,042 in June 2024.

    The yearly growth rate is 2.3% – the highest since January this year.

    Further Reading: Learn more about investing in buy-to-let with our guides, which cover topics such as reasons to invest in a buy-to-let in 2024.

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      North West Region Shows Strongest Growth in England

      The North West is still performing strongest when it comes to property price growth compared to other English regions. The area experienced 4.1% house price growth compared to the previous month, much higher than the UK monthly growth average.

      The typical house price in the North West now stands at £232,489.

      The vast majority of regions across the UK registered price growth. The only region where prices fell was Eastern England, as prices dipped -0.4% on an annual basis.

      The most expensive property is still found in London. According to Halifax data, the average is now £536,052, up 1.2% annually.

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      Halifax Forecasts Upward Price Trend for Rest of the Year

      The Bank of England announced a Base Rate cut in early August, so any effects this may have are still to be seen. However, Halifax forecasts that this and potential further rate cuts may contribute to an upward trend in prices for the rest of the year.

      Amanda Bryden, Head of Mortgages, Halifax, said: “Last week’s Bank of England’s Base Rate cut, which follows recent reductions in mortgage rates, is encouraging for those looking to remortgage, purchase a first home or move along the housing ladder. However, affordability constraints and the lack of available properties continue to pose challenges for prospective homeowners.

      “Against the backdrop of lower mortgage rates and potential further Base Rate reductions, we anticipate house prices to continue a modest upward trend throughout the remainder of this year.”

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      Author

      Jessica Ferris

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      Jessica Ferris is a property writer at RWinvest, helping our readers stay ahead of property market trends with the latest news and statistics.

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