November 01, 2013
House Prices Up
Nationwide’s October House Price Index has revealed that house prices have risen 1% on September – and are 5.8% higher than this time last year. The national average price of a house is now £173,678, still 7% below 2007’s peak of £186,044. It is the sixth month in a row that prices have gone up. Robert Gardner, chief economist at Nationwide, commented: “House price growth has accelerated as buyer demand has picked up more quickly than the supply of new homes. The risk is that if demand continues to strengthen while the supply of property remains constrained affordability could become stretched” – a scenario that could in part be caused by the new Help to Buy scheme. Alexander Gosling of online estate agents Housesimple warned that “many buyers are being driven by fear” of not being able to get on the housing ladder in the future if they don’t buy now.