House price activity 'still unseasonably strong'
Sep 29, 2006
Despite August's rise in interest rates, house prices have continued to rise, jumping by 1.3 per cent in September, according to figures.
Nationwide's house price index showed that housing market activity was unseasonably strong in September, bringing the annual rate of house price growth to 8.2 per cent, which is its highest rate since February 2005. The average price of a house now stands at £169,413, which is almost £13,000 more than this time last year and equivalent to a rise of £35 per day over the past 12 months.
Although this is exaggerated by a weak patch in the housing market in September 2005 when prices dropped by 0.2 per cent, house price growth is still strong, with many people considering remortgaging in order to release some of the extra value that their home has acquired.
However, some experts believe that while house prices may continue to rise in the next few months with strong demand from buyers, prices will ultimately cool due to stretched affordability.
One expert said that mounting affordability pressures, such as rising utility prices and a possible November interest rates hike were likely to have a clear dampening effect on housing market activity.
With Secured Loan UK .com, no matter whether you're Status or Non Status, being a Homeowner means we can get you a competitive rate that matches your credit history.
All you have to do is complete our Secured Loan Application Form and let us give you a FREE and NO obligation quote.
