Significant house price spike expected by Savills

November 28, 2019 by Mark

House Prices

The average cost of a house in the UK could be set to rise steeply during the next half decade, according to Savills.

New information that the firm has uncovered suggests that the average price of a home could increase by as much as 15% during that period, although this data does also indicate that prices will remain roughly the same between now and the end of 2019. In that period, a 0.5% rise is being anticipated.

The report released by Savills states that it is expecting a 1% increase in the average price over the course of next year, before the really sharp rise of 4.5% the year after that. It is then predicting further 3% rises across the following three years.

The company has added that it does not expect this rise to be confined solely to home prices, with the base rate for the Bank of England predicted to increase to 2% from its current level of 0.75%.

Although the average cost of a home is predicted to rise everywhere, there are variations by region, with the north west expected to see the steepest rise of 24%. By comparison, average costs within London are only expected to go up by 4%.

Given how much harder this could make it for people in the north west to afford a home, CeMAP training in Liverpool or Manchester will be essential to ensure mortgage advisors can show people loans that would make it possible.