UK house prices static in May
- Average house prices stable in May, down just -0.1% a monthly basis
- Annual rate of house price growth up +1.5% last month, from +1.1% in April
- Typical UK home now costs £288,688 (compared to £288,862 in April)
- The North West has the strongest price growth of nation or region in the UK
Amanda Bryden, Head of Mortgages, Halifax, said:
UK house prices were largely static in May, edging down slightly by -0.1% or around £170 in cash terms. On an annual basis house prices rose for a sixth consecutive month, up by +1.5% vs +1.1% in April. The average property price now stands at £288,688.
Market activity remained resilient throughout the spring months, supported by strong nominal wage growth and some evidence of an improvement in confidence about the economic outlook. This has been reflected in a broadly stable picture in terms of property price movements, with the average cost of a property little changed over the last three months.
A period of relative stability in both house prices and interest rates should give a degree of confidence to both buyers and sellers. While homebuyers and those remortgaging will continue to respond to changes in borrowing costs, set against a backdrop of a limited supply of available properties, the market is unlikely to see huge fluctuations in the near term.
Nations and regions house prices
The North West is the strongest performing nation or region in the UK, where house prices grew +3.8% on an annual basis in May. The average price of a property in the North West is now £232,258.
Northern Ireland continues to show strong growth, up +3.2% in May, pulling back slightly from +3.3%
in April.
House prices in Scotland also increased, with a typical property now costing £204,952, +1.9% more than the year before. In Wales, house prices grew annually by +0.7% to £219,483 (vs +1.1% in April)
Eastern England recorded the largest decline in annual growth across the UK. House prices here now
average £329,853, down -0.8% in May.
Unsurprisingly, London continues to have the most expensive average price tag, now at £536,821, up
marginally (+0.2%) compared to last year.
Read the full report for more insights on the current state of the UK housing market: Halifax Price Index May 2024
Source: Halifax
