UK House Prices on the Rise Again
After a brief dip, UK house prices are on the rise again, according to the latest data from the Office for National Statistics (ONS). The average UK house price annual inflation was 1.8% in the 12 months to March 2024, a significant increase from the negative 0.2% in the 12 months to February 2024.
UK house prices are on the rise again
The average UK house price was £283,000 in March 2024, which is £5,000 higher than 12 months ago. Average house prices in the 12 months to March 2024 increased in England to £299,000 (1.0%), increased in Wales to £214,000 (1.3%), and increased in Scotland to £192,000 (6.7%). The average house price increased in the year to Q1 (Jan to Mar) 2024 to £178,000 in Northern Ireland (4.0%).
Regional Variations
Of English regions, annual house price inflation was highest in Yorkshire and the Humber, where prices increased by 5.0% in the 12 months to March 2024. London was the English region with the lowest annual inflation, where prices decreased by 3.4% in the 12 months to March 2024.
Regional house price inflation
Industry Reaction
Commenting on the latest figures, Propertymark chief executive Nathan Emerson said: “The housing market is a key indicator regarding wider economic health, and it is extremely positive to see further uplift and confidence within the housing sector.”
Atom bank head of mortgages Richard Harrison was also positive on the new data: “The increase in house prices reported today brings to an end a long run of falls, and marks a clear turnaround in confidence among buyers. While inflation has fallen by less than expected today, denting hopes of an imminent reduction in base rate, the reality is that cuts are coming and that is bringing would-be purchasers back to the market.”
Former RICS residential chairman and London estate agent Jeremy Leaf said that while this relatively modest acceleration in house-price increases, which includes mortgaged and cash sales, was a little dated, it showed how even anticipation of today’s drop in inflation was giving another boost to housing market activity.
Housing market confidence is on the rise
