Monthly UK House Price Stats – October. It’s nearly Halloween and we have the latest stats for October, will there be any shocks in store?
Nationally, new seller asking prices are up, a slightly subdued 1.0% on last month. This represents the lowest monthly increase for October since 2010. It is up on September’s increase of 0.7% though so the upward trend continues. This brings the average price of a property in the UK to £307,245. The picture here in the South West is slightly improved on the national picture, with average price rises over the period compared to last month of 1.1%, bringing the average house price here up to £307,105, just a whisker short of the national average.
Average selling times have increased slightly overall and The South West is no exception here. We do remain one of the lowest in the country though. Asking prices across market sectors* were as follows: The Top of the ladder sector have fared best again this month with an average increase of 1.5% across the sector with the First Time Buyer Sector faring worst with a slight decrease of -0.1%.
The price of property generally increases at this time of year as we put the distractions of the summer and school holidays behind us. This October we have seen the customary increase, albeit at a smaller rate than in recent years.
Mortgage approvals for first time buyers have increased slightly by 1% over the month, suggesting an increase of sales within that sector. This has been coupled with a very slight decrease in asking prices over the period. One reason for this could be the reduction in Buy-to-Let mortgage approvals over the month, allowing more first time buyers the opportunity to enter the market.
The Chancellor of the Exchequer has announced the next budget for 29thOctober. The upcoming budget and ongoing political uncertainty are likely to be two factors which affect the market over the coming months, although we would expect the upward trend to continue, it may be with a little less vigour than previously thought.
We have seen the expected increase in prices of property coming to market in October and this trend is likely to continue. We don’t know yet if the Autumn budget will have any surprises for the property market and how that will affect things as we move towards the close of the year.
For those of you looking to buy – now is a great time, especially if you are a first time buyer. To find out about our available property – get in touch with your local branch and register your details with us. We will keep you updated with new property and price reductions.
*Market sectors explained:
First-time buyer: This figure represents the typical property a first-time buyer would purchase, covering all two bed properties and smaller that come to market (houses and flats).
Second-stepper: This figure represents the typical property of a person moving from their first home, covering all three and four bed properties that come to market (houses and flats) excluding four bed detached houses.
Top of the ladder: This figure represents asking prices at the top end of the market, covering all five bed properties and above (houses and flats), as well as four bed detached houses.