The most recent house price index published by Nationwide shows that the average price of a house in the UK went up by 1.5% during July, compared with the same month in 2019.
This index also revealed a rise in the average UK house price compared with the month before, with a 1.7% increase on that of June being reported. It represents a very positive sign for the housing market, after June saw average annual and monthly price drops of 0.1% and 1.6% respectively, with the average price of a home in the UK during July being £220,936.
In pinpointing the reasons for this, Robert Gardner from Nationwide argued that social distancing has not had the negative impact on the property sector that many were expecting. He went on to say that pent up demand among would-be homebuyers during the extended lockdown was another contributory factor, while research conducted by Nationwide had found that the lockdown had led 15% of homeowners to consider a move.
James Forrester, of Barrows and Forrester estate agents, told Mortgage Strategy that:
“While the current pandemic continues to dampen many aspects of life, homeownership isn’t one of them, and we should continue to see some very positive price trends play out over the year.”
Other industry figures, including Shaun Church of Private Finance, are more cautious, citing a continued wariness among mortgage lenders.
The quick return of housing market activity is proof that it is still a good time to get CeMAP training as a mortgage advisor.