Data from the latest edition of the UK’s longest-running monthly house price series shows that the average cost of a home in the UK has once again set new records, becoming more expensive than ever before.
Figures from October 2021’s Halifax House Price Index reveal that the average cost of a UK home is now £270,027 making for an 8.1% increase from this time last year.
Commenting on the results across the UK, Russell Galley, Managing Director, Halifax, said: “UK house prices climbed again in October, as the value of the average property grew by 0.9%, an increase of more than £2,500 during the month. With prices rising for a fourth straight month, the annual rate of inflation now sits at 8.1%, its highest level since June.”
However, despite the eye-watering average house price exceeding the £270k barrier for the first time on record, the average annual house price rise is even higher in parts of the country. England’s North West region returned to being the strongest performing region in the UK with a 10.4% rise in annual prices. Homes in the North West now are at an average house price of £205,881.
Meanwhile, in Wales, annual house price inflation is 12.9% (average house price of £198,880), while Northern Ireland has recorded its strongest growth in four months, posting an 11.3% increase (average house price of £169,308).
When asked what could be driving the increase in prices, Russel added: “One of the key drivers of activity in the housing market over the past 18 months has been the race for space, with buyers seeking larger properties, often further from urban centres. Combined with temporary measures such as the cut to Stamp Duty, this has helped push the average property price up to an all-time high of £270,027.”
Halifax’s data shows that since the first full month of lockdown (April 2020), the value of the average property has soared by £31,516 (13.2%).