UK Property Market - Sales

UK House Price Index with data set for June 2022 was published on 17 August 2022 by the Office of National Statistics.

The data used is from HM Land Registry, Registers of Scotland, and Land and Property Services Northern Ireland

The main points in thr report are:

·         UK average house prices increased by 7.8% over the year to June 2022, down from 12.8% in the year to May 2022.

·         Despite UK house prices increasing between May and June 2022, annual house price inflation has slowed due to the rise in prices seen in June 2021, which were the result of tax break changes.

·         The average UK house price was £286,000 in June 2022, which is £20,000 higher than this time last year. The average house prices in the UK increased by 0.5% between May and June 2022

·         Average house prices increased over the year in England to £305,000 (7.3%), in Wales to £213,000 (8.6%), in Scotland to £192,000 (11.6%) and in Northern Ireland to £169,000 (9.6%). England house prices remain the highest in the UK.

UK housing market, Sales

Annual UK house price growth slowed in June 2022 down to 0.5% increase from the previous month. The drop in the number of sales and demands from buyers is linked to the rising interest rates and affordability or the rising cost of living. Despite the falling number of transactions, the UK house prices are still increasing and are, on average, £20,000 higher than this time last year.

The average UK house in June 2022 was costing £286,000. London's average house prices in June 2022 remain the most expensive of any region in the UK, averaging now at a record level of £538,000.

Commenting on the house price inflation in 2021, the ONS says that “the housing transaction tax changes may have allowed sellers to request higher prices as the buyers’ overall costs were reduced.”

There were an estimated 95,420 residential transactions in the UK in June 2022. That is 54.3% lower than in June 2021 and 7.9% lower than in May 2022.

Another data indicating the sales prices decline came from Rightmove. The portal reports that the property prices were down 1.3% in the month of August, the first price fall recorded this year. However, they comment that “this drop is on par with the average August price drop over the past ten years, so more likely due to holidays than rate rises.”

Other data set indicating the sales prices decline came from Rightmove. The portal reports that the property prices were down 1.3% in the month of August, the first price fall recorded this year. However, they comment that “this drop is on par with the average August price drop over the past ten years, so more likely due to holidays than rate rises.”

For any question regarding the sale of your UK property, contact one of our sales teams HERE