Wokingham market set to remain buoyant for the remainder of the year

 

Both the Halifax and Nationwide House Price Indices for May continue to show a booming UK housing market. Based on mortgage approval data, they show annual house price inflation at a seven-year high, with Nationwide recording a 10.9% growth rate and Halifax a slightly lower 9.5%.

 

This takes the average house price to £242,832 and £261,743 as calculated by Nationwide and Halifax, respectively.

Compared to April, the Nationwide figures show a slight slow-down in the monthly price growth, falling from 2.3% to 1.8%.

 

The Halifax records a minor fall of only 0.2%, moving from 1.5% to 1.3%. Both lenders comment on a modest drop in transaction levels after the spike in March caused by the originally planned end to the stamp duty holiday.

 

There are interesting comparisons to be made between Q1 2021 and Q1 2020 in our area.

 

The Wokingham area saw an average sales price in Q1 this year of £560,000 compared to £474,000 in Q1 last year, showing a year-on-year change of 18.1%.

 

However, this change may partly be down to fewer smaller properties being sold in the later period.

In the near future, both Nationwide and Halifax predict that the market will remain buoyant due to growing confidence in economic recovery.

 

They anticipate that the combination of increased savings, low interest rates and the ongoing shortage of housing for sale will probably result in a further acceleration in annual house price growth over the next six months.

 

Click here for more property market news or contact Nick or Teresa on 0118 466 0292 - we're here to help.

 

Team Image
 
View all Journal