House Price Index: House prices rise by 1.3 per cent

According to the latest House Price Index (HPI) figures, house prices in the UK rose by 1.3 per cent for the year to August 2019.

The average house price in the UK is now £234,853, with the HPI standing at 123.2.

The average price for a new build increased by 1.1 per cent year-on-year to £282,051 while existing resold property also increased by 1.1 per cent to £227,595.

On a monthly basis, which is not seasonally adjusted, average house prices rose by 0.8 per cent between July and August 2019, which was 0.5 per cent more than the same period last year, between July and August 2018.

The Royal Institution of Chartered Surveyors’ (RICS) August 2019 Residential Market Survey indicated a flat trend in demand, following several successive months where enquires had increased.

Newly agreed sales decreased marginally, while new instructions to sell remained static. House price growth was the strongest in Wales, which saw average price growth of 4.5 per cent to August 2019. House prices in London saw a slight decrease of 1.4 per cent in the year to August 2019.

The latest UK Property Transactions Statistics show that the number of transactions for residential properties over the value of £40,000 increased by 0.9 per cent, with 99,890 transactions in total. Between July and August 2019, transactions increased by over 15 per cent.

According to recent figures from the Bank of England (BoE), mortgage approvals in August 2019 decreased slightly to 65,500, from 67,000 in July 2019, but remained largely similar to the figures seen in the past three years.

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