UK house prices near 2022 highs in February, a 5th straight monthly increase

Posted on March 8, 2024   |  

UK house prices are almost at their peak recorded in June 2022, with just a £1,800 difference, following a 0.4% increase in February, marking the fifth consecutive monthly rise.

Annual property price growth stood at 1.7% in February, down from 2.3% the previous month.

The average UK house price reached £291,699 in February, a £1,000 increase from the previous month.

Lower mortgage rates and anticipated Bank of England interest rate cuts are expected to temporarily boost buyer confidence, although the downward trend in rates is slowing down.

London has the highest average house price at £536,996, rising by 1.5% compared to the previous year, while the north-east has the lowest average price at £171,294, up by 4.2%.

In the recent budget announcement, Chancellor Jeremy Hunt revealed property tax measures, including a reduction in the higher rate of capital gains tax on residential properties from 28% to 24% starting April 2024.

These measures aim to encourage landlords and second homeowners to sell their properties, increasing availability for various buyers, including those entering the housing market.