House prices still rising but demand expected to cool

Growth in UK house prices accelerated again last month, with the average property price now £270,027, according to the Halifax house price index. Prices rose 8.1% in the year to October, up from an annual rate of 7.4% the month before. With interest rate rises still on the horizon, Halifax said it expected house-buying demand to cool in coming months as borrowing costs rose. However, these would still be "low by historical standards", it added. "Raising a deposit is likely to remain the primary obstacle for many. The impact on property prices may also be tempered by the continued limited supply of properties available on the market," said Russell Galley, managing director at Halifax. October was the fourth month in a row of rising house prices, boosting the annual rate of growth to its highest since June. In regional terms, Wales remained the strongest performing area, with annual house price inflation of 12.9% and an average house price of £198,880. In England, the North West has returned to being the strongest performing region. Prices rose by 10.4% over the 12 months, with the average house costing £205,881. Average house prices in London are still far higher than elsewhere in the country at £514,907.  

BBC News (05/11/2021)