TLTP
\nLONDON
\nBritish house prices recorded their strongest run of growth since 2004 in November, with the average home now selling for \u00a3253,000 ($338,443).
\nHouse prices increased 7.6 percent in November compared to the same month a year earlier, and have risen by \u00a315,000 or 6.5 percent since June \u2013 the strongest gain since 2004, according to the Halifax\u2019s House Price Index. Prices also increased 1.2 per cent compared to October, adding almost \u00a33,000 to the cost of a typical UK home.
\n\u201cAt just over \u00a3253,000, the average property price has risen by more than \u00a315,000 since June. That equates to 6.5 per cent \u2013 the strongest five-monthly gain since 2004,\u201d said Russell Galley, managing director of Halifax.
\nA desire for more space following the pandemic spurred many to upsize or relocate after the first lockdown, with UK finance minister Rishi Sunak\u2019s stamp duty land tax break at the start of July boosting the market further.
\nThe tax holiday, which expires on March 31, means that nine in 10 people buying their first home or moving up the property ladder will pay no stamp duty at all, with the measure delivering an average saving of \u00a34,500, according to HM Treasury.
\nHowever, properties sold to home movers in November recorded a much higher rate of annual house price inflation of 7.5 per cent, according to Halifax, compared to first time buyers at 5.8 per cent.
\n\u201cIt is interesting to note that the stamp duty saving of \u00a32,500 on a home costing \u00a3250,000 is now far outweighed by the average increase in property prices since July,\u201d said Mr Galley.
\nHouse prices were 3.8 per cent higher in the three months ended November, with the relocating set to continue.
\n\u201cWith mortgage approvals at a 13-year high, the current market continues to be shaped by a desire for more space, the move from urban to rural locations and indications of a trend for more home working in the future,\u201d said Mr Galley.
\n\u201cAnd while industry data shows agreed sales and new instructions to sell fell to their lowest level in the past five months, both remain at historically high levels and well above seasonal norms.\u201d
\nBritain\u2019s construction industry grew faster than expected in November, boosted by the strongest orders in six years amid a surge in house prices, with the IHS Markit\/CIPS construction Purchasing Managers\u2019 Index (PMI), rising o 54.7 in November from 53.1 in October, its strongest level since July with new orders the highest since November 2014.
\nWhile the housing market has been much more resilient than many predicted at the outset of the pandemic, Mr Galley said many households remain confident about further price growth next year.
\n\u201cHowever, the economic environment continues to look challenging. With unemployment predicted to peak around the middle of next year, and the UK\u2019s economy not expected to fully recover the ground lost over 2020 for a number of years, a slowdown in housing market activity is likely over the next 12 months,\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":"
TLTP LONDON British house prices recorded their strongest run of growth since 2004 in November, with the average home now selling for \u00a3253,000 ($338,443). House prices increased 7.6 percent in November compared to the same month a year earlier, and have risen by \u00a315,000 or 6.5 percent since June \u2013 the strongest gain since 2004, […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-160839","post","type-post","status-publish","format-standard","category-business"],"yoast_head":"\n