You are here: Home - Mortgages - Buy To Let - News -

Further house price growth in June

Written by:
House prices in the UK have grown for the second consecutive month, according to the latest Halifax house price index.
Further house price growth in June

Following a rise in May, the bank found that house prices had increased by 1% in June.

It added that the market had remained broadly steady in the last twelve months with an equal number of monthly gains and falls.

However, prices in June were 0.5% lower than the same month a year earlier. The average UK house price is now £162,417. The report also found that typical mortgage payments for a new borrower are around 26% of disposable earnings.

This rate, for first-time buyers and homemovers, is significantly lower than the 36% averaged over the past 27 years. Martin Ellis, housing economist at Halifax, said:

“There has been a marked improvement in the annual rate of change over the past 12 months.

“A year ago, in May 2011, house prices were falling at an annual rate of 4.2%. In contrast, there has been broad stability recently with the annual rate between 0% and – 0.5% in each of the past three months.

“The ending of the stamp duty holiday at the end of March appears to have distorted house price movements and sales in recent months. Nonetheless, despite falling back in April and May, sales remain slightly higher than a year ago.”

Russell Quirk, director at, added:

“You’d be two sandwiches short of a picnic if you took this one percent rise in house prices as a sign of market strength.

“The improvement in the annual rate of change suggests that prices have bottomed out, but a Black Swan event coming in from Europe could add further downward pressure.

“Anyone looking to sell in the current market has to put their property on at the right price, or be prepared to wait indefinitely. Buyers know they have a strong hand right now. The fact that supply is even weaker than demand is supporting prices.”

Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Children’s savings accounts: the basics

Junior ISAs, Child Trust Funds and alternative savings and investments for kids explained