UK house prices up by 8.5%

ONS, Halifax and Nationwide all report a sharp increase in annual house price growth since the stamp duty holiday announcement in July 2020. According to the December UK HPI (ONS), the average house price in the UK is £251,500, an annual increase of 8.5%. In January 2021 Halifax and Nationwide reported a slowdown in house price growth, a -0.3% monthly decline. Stabilisation of price growth could reflect the looming SDLT/ Land Transaction holiday deadlines. Rightmove, Zoopla and the Dataloft Demand Index all report good levels of housing market demand, and while stock remains constrained, prices are likely to be supported.