Breaking News

UK house prices hit record high as buyers hunt for more space

Great Britain house prices have reached a new all-time high and are now 30 percent above their peak before the 2008 financial crisis, according to data Zoopla

The real estate website says the average home price hit a new high of £ 230,700 in June, up 5.4 percent from the same month a year earlier.

The pandemic-related housing search has driven home prices up 7.3% over the past year, while apartment demand has not kept pace with the 1.4% rise in prices.

This comes amid an acute shortage of homes for sale, with inventory levels in the first half of the year down 25% from 2020, Zoopla said.

Graine Gilmore, head of research at Zoopla, said: “Demand is falling from record highs at the beginning of the year, but remains well above typical levels, signaling that above-average activity levels will persist in the coming months.

“The demand for houses still exceeds the demand for apartments. To some extent, this trend will be exacerbated by stamp duty leave, with the potential for greater savings for larger properties – usually homes.

“But underneath that, among buyers, both inside and out, there is a constant drumming demand for more space, pushing demand towards homes, which is driving up the price of that property.”

Agreed sales are 22% above the 2020 average.

Buyer demand fell slightly by 9 percent in the first half of July after the initial stamp leave ended, but overall it remains 80 percent above the average for this time of year in more “normal” market conditions. 2017-2019.

The London market is polarized, with demand in outer London 86% above the 2017-2019 average, while demand in inner London is just 2% above the “normal” market average.

“There is currently a two-speed market in London, with domestic demand driving prices up in remote areas, while a lack of international business travel and leisure is driving demand in the more global property markets towards central London,” said Ms Gilmore.

“As Covid progresses at different rates around the world, unlimited travel may not resume for some time yet, but when it does, demand will pick up again.”

The highest rise in home prices was in Wales at 10.2 percent, in the Northwest at 8.8 percent, and the lowest in London at 5.6 percent.

Meanwhile, apartment price increases were highest in Scotland at 5.2 percent and the East Midlands at 3.7 percent, but fell 0.5 percent in London.

Leave a Reply