Property prices have risen 4.8% over the past 12 months. 

That’s according to the latest figures from the Halifax House Price Index, published today. The news brings the price of the average property in the UK to £298,083.

Biggest November jump for two years

The annual jump is the biggest since November 2022. Price growth is highest in Northern Ireland, at 6.8%. But the North West of England isn’t far behind, with growth of 5.9%. The rise in Wales was 4.1%. In Scotland, the picture for home owners wasn’t quite as rosy, with an increase in property prices of just 2.8% year-on-year. London increases were higher than north of the border. Property in the capital was, in fact, up 3.5%, bringing the cost of a typical home there to £545,439.

Head of Mortgages at the high street lender is Amanda Bryden. She said the rise in UK property prices was the fifth in a row. The monthly jump between October and November was 1.3%. 

Ms Bryden added: “We are seeing improving levels of demand for mortgages. An easing in mortgage rates boosts buyer confidence.”

She did add though that the current economic situation exacerbated affordability difficulties for many would-be house buyers.

Propertymark CE Nathan Emerson insisted that with mortgage interest rates falling buyers are once again warming up to market conditions. 

Analysts urge caution as cost of living continues to impact

Other analysts don’t necessarily share Emerson’s confidence though. 

Karen Noye of Quilter admitted falling mortgage rates and general market stability had led to a ‘rebound in buyer activity.

But she was also conscious that rising cost of living was continuing to have an impact on buyers’ finances. 

“For the housing market to maintain momentum, a balance will need to be struck between supporting demand and addressing affordability constraints,” she added. “That’s particularly the case because higher interest rates are likely to remain a feature of the market for some time.”