UK house prices increase. Housing news in the King's speech. Interest rate cuts expected next year.
Housebuilder Pro
Revolutionise your new home business with an end-to-end productivity software solution - from Shoothill Ltd
UK house prices have increased for the first time in 6 months
According to Halifax’s latest report, the average house price has increased by 1.1%.
This takes the average house price up to ￡281,974.
Director of Halifax Mortgages said: “Prospective sellers appear to be taking a cautious attitude, leading to a low supply of homes for sale. This is likely to have strengthened prices in the short-term, rather than prices being driven by buyer demand, which remains weak overall.”
The housing market has slowly been righting itself, the increase in house prices continues this upward trend, however, the market remains below its high in 2022.
?
Housing news from the King's Speech
The King’s Speech opens parliament and lays out the plans for government over the next year.
These are the pieces we’ve picked out from the announcements relevant to the world of tech.
Leasehold and Freehold Bill – This brings forward plans for leasehold reform expansion, extending the maximum length of a lease from 90 to 990 years, and excluding new flats from the plan to phase out leases.
Renters (Reform) Bill – This has been carried forward from the last parliament. When enacted this bill will remove no-fault evictions.
?
Interest rate cuts expected in 2024
Numerous outlets are reporting that the Bank of England will likely decrease the base rate of borrowing to 4.5% by the end of 2024.
The BoE has held interest rates at 5.25% again this month, instead of increasing them. ?
领英推荐
High-interest rates are put in place to make borrowing more expensive and reduce the amount people are spending, soothing inflation.
With this reduction next year, mortgages would become more appealing at lower interest rates.
In turn, increasing demand in the housing market and thus prices would continue to rise.
On Tuesday these reports led to a surge of activity in the UK Bond Market.
Homes England opens bidding applications for the Affordable Homes Programme
Homes England, the Government’s Housing Agency, has opened bidding applications for the affordable housing grant.
Applications can be made on Gov.uk.
Finding our newsletter useful? Feel free to share it with your colleagues.
If you want to find out more about Housebuilder Pro, contact us here.
Or get in touch with Nick Taylor, our Sales Director.
?
?
?
?