London, September 7 (FinanceFlashNews) – UK house prices saw their steepest rise in nearly two years this August, following a reduction in interest rates by the Bank of England. This positive shift improved buyer confidence, reported Halifax, the largest mortgage lender in the country, as cited by RTTNews.
House prices increased by 4.3% year-on-year in August, up from 2.4% in July, exceeding economists’ expectations of a 4.2% rise. This marks the fastest growth since November 2022.
On a month-to-month basis, prices continued to grow, albeit at a slower pace, rising by 0.3% in August compared to 0.9% in July. This still surpassed analysts’ forecasts of a 0.2% increase.
Amanda Bryden, head of mortgages at Halifax, attributed the annual price growth to improved market conditions during the summer, with lower interest rates providing a significant confidence boost for prospective buyers. The optimism was also reflected in the number of approved mortgages in July, which totaled 61,965, the highest since the market turmoil in September 2022.
UK House Price Growth:
| Period | Year-on-Year Growth (%) | Month-on-Month Growth (%) |
|---|---|---|
| July 2024 | 2.4 % | 0.9 % |
| August 2024 | 4.3 % | 0.3 % |
Keywords: UK house prices, Halifax, interest rates, mortgages, real estate market, property growth
