UK House Price Growth Highest For 15 Years

Money Tips Daily by Charles Kelly, former IFA and author of

UK House prices rose 3.4% in the three months to the end of November, the highest price increase since 2006, and 8.2% higher than a year ago, the Halifax reports.

The average UK property price hit a fresh record high of £272,992 in November, the UK’s largest mortgage lender said. But added that the pace of growth was unlikely to continue next year as household finances come under pressure.

Property shortage and low interest rates drives demand

House prices in the UK have still been going up for the past five months, despite the end of the stamp duty holiday and the massive activity in the first six months of 2021.

The unexpected growth was "underpinned by a shortage of available properties, a strong labour market and keen competition amongst mortgage providers keeping rates close to historic lows," said Russell Galley, managing director of the Halifax.

The figures are based on the lender’s own data and represent an average across all residential property types in the UK. Figures will vary in some areas and properties. Flats have not enjoyed as the same high growth as houses for instance.

How long will historic low interest rates last?

UK economic growth slowed in October while inflation has risen above 4%. Will the Bank of England raise rates this month amidst further restrictions following the Omicron variant?

The Bank of England’s Monetary Policy Committee (MPC) meets again on 16 December.

CEOs dumping shares

CEOs of companies like Amazon, Tesla and Facebook have sold billions of dollars of their shares in their own companies. Do they know something we don’t?

Don’t get into debt this Christmas

Avoid spending money you don’t have and getting into debt this Christmas.

Have a family ‘truce’ on present values or opt out of the spending spree altogether if you can.

Financial education in investing is the key to building and keeping wealth. Never stop learning!

Keep watching or listening to my free podcasts on iTunes and subscribe to my YouTube channel for regular financial news and updates.

NEW BOOK LAUNCH – BORROW AND GROW RICH – SPECIAL OFFER

I cover financial education and money mindset in my books, Borrow and Grow Rich (available for Kindle pre-order now - https://www.amazon.co.uk/s?k=borrow+and+grow+rich&ref=nb_sb_noss) and 'Yes, Money Can Buy You Happiness", which you can order on Amazon: https://www.amazon.co.uk/Yes-Money-Can-Buy-Happiness/dp/1095175858

In this book, you will learn how the power of leverage and inflation can make you rich without working any harder than the average employee. You will also learn the difference between good debt and bad debt and why saving alone will not make you rich.

Pre-order BORROW AND GROW RICH before 31 December and I will send you a FREE PDF copy of Yes, Money Can Buy You Happiness.

Borrow and Grow Rich is available for Kindle pre-order now - https://www.amazon.co.uk/s?k=borrow+and+grow+rich&ref=nb_sb_noss