Monitoring the housing market is very important for many, particularly those doctors and dentists who are looking to purchase their first home or who are investing in buy-to-let properties. Our monthly Property Price Update gives you a summary of what the experts are saying.
This article does not constitute advice. Professional advice should be taken prior to acting on any part of it. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
What’s going on in the UK Property Market?
Annual house price growth increased slightly last month, with growth edging back into double digits. Growth rebounded to 10% in November, up from to 9.9% in October. Month on month, prices haven’t changed much once again, recording a 0.9% increase.
The average house price in November was £252,687, up marginally from £250,311 in October. Thanks to last month’s performance, house prices are now almost 15% above pre-pandemic levels from last March.
Many experts predict housing market activity might be cooling down, and most notable, the number of housing transactions were down 30% year on year from October 2020. It’s no surprise since the Stamp Duty holiday ended in September, which pushed many people to bring their property purchases forward to avoid paying more tax than necessary.
It’s not all doom and gloom
Activity has actually been extremely buoyant this year. Despite a decrease in transactions year on year, the number of housing transactions throughout the entire year has already exceeded the number recorded in 2020, and 2021 isn’t even over yet.
Additionally, mortgage approvals for house purchases last month were still running above the 2019 monthly average. It’s likely that labour market conditions will remain robust, despite September also bringing the end of the furlough scheme that has helped so many throughout the pandemic.
If the economy remains relatively stable and the market’s current momentum continues, the shift in housing preferences as a result of the pandemic should continue to support activity, and housing market conditions should continue to thrive in the coming months.
Looking ahead
As ever, the outlook is still uncertain. What impact the new Omnicron variant of the coronavirus has on the wider economy remains to be seen. And despite consumer confidence stabilising in November, it has still not reached the levels seen during the summer, in part due to an increase in the cost of living. Inflation being set to rise even further, perhaps even hitting 5% in the near future will also affect activity.
Stay in the know
Check back monthly for our regular update on the nation’s property prices.
If you’re planning to buy or sell property this year, contact an adviser for personalised advice.
At Dental & Medical Financial Services, our experts are dedicated to helping our clients select the right mortgage deal for your needs. If you’re ready to take the first step toward home-buying, get in touch with us today.
Figures quoted from Nationwide House Price index November 2021.
Mortgages for Doctors and Dentists
Always remember to visit our site monthly for your regular update on the nation’s property prices.
If you’re planning to buy or sell property this year contact an advisor for personalised advice.
At Dental & Medical Financial Services, our experts are dedicated to helping our clients select the right mortgage deal for your needs. If you’re ready to take the first step toward home-buying, get in touch with us today.