British Real Estate Market: Upward Trend Thanks to Falling Mortgage Rates

The British real estate market is on the rise, as falling mortgage rates strengthen buyer confidence. According to Halifax, the country's largest mortgage lender, the average house price in September was £293,399, approaching the record high of £293,507 reached in June 2022. Prices have now risen for three consecutive months, indicating improved market conditions. Mortgage affordability has improved thanks to solid wage developments and falling interest rates, explains Amanda Bryden, Head of Mortgage Business at Halifax. This has strengthened buyer confidence, reflected in an increase in approved mortgages of over 40% in the past year. The number of mortgage agreements is now at its highest level since July 2022. Compared to the previous year, house prices have risen by 4.7%, marking the fastest growth rate since November 2022. Particularly in Northern Ireland, the annual growth rate in property prices is the strongest nationwide. Guy Gittins, CEO of Foxtons, expressed optimism about market recovery on the BBC Today program. While this year will not be the best ever experienced, more buyers from last year are returning with every slight drop in interest rates.