Halifax Mortgages

PA Archive The housing market “beat expectations” in 2023, with the average UK property value ending the year £4,800 higher than it had been at the end of 2022, according to an index. Property values increased by 1.7% on average across 2023, Halifax said. Average house prices rose by 1.1% month-on-month in December, the third monthly rise in a row. The typical UK house price in December 2023 was £287,105, up from £282,305 in the same month a year earlier.

This was compared with Halifax’s house price data covering the same period in 2022. Halifax said rises in house prices were recorded in more than 70 areas. With its rugged landscapes, including swathes of the Brecon Beacons, Powys in Wales topped the list, recording annual house price growth of 17.4%. Home to the Lincolnshire Wolds, East Lindsey is the area of England with the strongest property price inflation over the last year (13.3%).

But Halifax, which released the index, said the average property price remains 1.0% above the level seen in December 2021, the month when base rate started to edge up, from 0.1% to 0.25%. Its report said: “House prices have proven more resilient than expected over that period, despite higher mortgage rates suppressing market activity.” The Bank of England’s recent decision to hold the base rate at 5.25% ended a run of 14 consecutive increases.