Nationwide House Price Index – Is Now A Good Time For Property Investment?

Thursday 14 October 2021

2021 has been a strong year for the UK property market and Nationwide’s house price index reflects how resilient the market has been. With positive figures for regions across the UK, now is a great time to consider a UK property investment.

House price growth in the UK slowed sharply to 0.1% month-on-month in September, down from 2.1% recorded in August.

According to the Nationwide’s House Price Index, annual house price growth fell back to 10% in September, down from 11% in August. The lender said the average home is now valued at £248,742, about 13% higher than before the pandemic began in early 2020.

Nationwide reported Wales as the strongest performing region, with house prices up 15.3% year-on-year, the highest rate of growth since 2004. Next best was Northern Ireland (14.3%), followed by Yorkshire & Humberside (12.3%), then Scotland (11.6%).

Robert Gardner, Nationwide’s chief economist, said: “annual house price growth remained in double digits for the fifth month in a row in September, though there was a modest slowdown to 10% from 11% in August.
“House prices have continued to rise more quickly than earnings in recent quarters, which means affordability is becoming more stretched. Raising a deposit remains the main barrier for most prospective first-time buyers. A 20% deposit on a typical first-time buyer is now around 113% of gross income, a record high,” Gardner added.

If you would like to learn more about the UK property market or property investment, then contact us today and one of our investment consultants would be happy to talk you through the current opportunities available.

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