Steady house price growth in August: Halifax HPI

The price of the average house showed little change from July this year at £229,958. - a rise of just 0.1%. In the latest quarter (June-August) prices were 1.9% higher than in the preceding three months (March-May 2018).

Russell Galley, Managing Director, Halifax, said:

“House prices picked up in August, with the annual rate of growth rising from 3.3% in July to 3.7%. With the average house price now £229,958 prices in the three months to August were also 1.9% higher than in the previous quarter.

“While the pace of employment growth has recently slowed, a low unemployment rate and a gradual pickup in wage growth are helping to support household finances. This has been accompanied by interest rates still remaining at a historically low rate and a stable, yet constrained, supply of new homes onto the market further supporting house prices.”

Jeremy Leaf, north London estate agent and a former RICS residential chairman, says:

"This well-established snapshot of housing market performance from the country’s largest lender is sending a mixed message. Prices are rising more slowly on a monthly basis but accelerating when annualised. What we are finding on the ground is a market largely stuck in neutral - shortage of stock is supporting modest price increases, particularly outside London. 

"'There is an opportunity now for serious sellers to take advantage of increased buyer activity, which we have already encountered, as many return from holidays keen to make decisions about property and move before Christmas if possible. But both buyers and sellers need to come to terms with new market realities. Those who do will take advantage; otherwise, nothing much is likely to change."