House prices predicted to end the year 6% higher
By December 2015, it is expected that average house prices will have seen a 6% rise across the UK.
Research conducted by RICS (Royal Institution of Chartered Surveyors) has highlighted that the number of homes currently available on the market is at its lowest level in over 30 years.
The predicted growth is believed to be the result of a strong employment market and low mortgage rates. This combination has fuelled demand from buyers, causing a sharp rise in the average house price. With prices sitting at £272,000 at the end of 2014, this would result in an increase of £16,000 by next year.
The news follows on from reports of asking prices for UK homes reaching an average of £300,000 in the next three months. The research conducted by Rightmove saw an added increase of £2,550 for the average property, taking the asking price to a 13 year high of £294,834. If prices were to continue increasing at this rate, by December, asking prices would reach £302,484.
What does sequre have to say say?
Graham Davidson, Managing Director of Sequre Property Investment, comments on the rise in house prices:
“The increase in house prices is great news for property investors looking for capital growth. Anyone purchasing a property for whatever purpose is expecting house prices to increase as bricks and mortar is a valuable investment for anyone. Low mortgage rates have resulted in a rise in the number of purchases across the UK, as it has led many individuals to obtain a good deal from lenders whether they were purchasing for themselves or for buy to let purposes.”
“Other factors contributing to the increase in prices will be the pension freedoms. This saw a new wave of buy to let investors come to the market earlier this year and prices will have increased as a direct result. While the growth may seem rapid to some, it is common to see a slight slowdown of activity in the winter months, which could stall any significant increases for the time being.”
Sequre specialise in sourcing discounted property across the UK. We negotiate in bulk, resulting in our investors gaining access to exclusive deals, often not available anywhere else on the market. With fully tenanted properties available in a number of prime locations, we offer only the best investment opportunities to our clients. To find out more about our properties, or to enquire about a buy to let mortgage, contact Sequre today on 0800 011 2277.