Live updates: UK house price growth pushes average above £280,000 for first time

UK house price growth accelerated in April, pushing the average house price above £280,000 for the first time, according to official figures which show the housing boom is driving by the pandemic continued despite rising borrowing costs.

Average UK house prices rose 12.4% in the year to April, up from 9.7% in March 2022, according to data released by the Office for National Statistics on Wednesday.

The average UK house price was £281,000 in April 2022, £31,000 more than the same time last year. It was also £50,000 higher than in February 2020 before the pandemic took hold, reflecting strong demand in the property market during the health crisis.

ONS house price statistician Chris Jenkins noted that the acceleration was ‘mainly due to declines seen at this time last year due to changes to the previous stamp duty holiday’.

As a result, official data “did not yet show the slowdown in demand noted by other reports in recent weeks”, said Jeremy Leaf, a north London estate agent and former RICS residential chairman.

However, many experts expect prices to fall as interest rates rise.

Andrew Montlake, managing director of UK-wide mortgage broker Coreco, said “rising borrowing costs and immense pressure on household finances will almost certainly begin to temper demand. in the coming months, which will slow the rate of price growth.”

ONS data showed London continued to be the region with the lowest annual growth at 7.9%. In contrast, Wales and Scotland recorded house price increases of over 16%.

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Edward L. Robinett