By Industry comments below on the UK House Price Index December released this week.
The latest index shows that
- The average monthly rate of house price growth in December sat at -0.1%.
- The average annual rate of house price growth in December sat at 4.6%.
- As a result, the average UK house price now sits at £268,000.
CEO of Yopa, Verona Frankish, commented:
“We saw a second consecutive reduction in the monthly rate of house price growth during December, but this is to be expected given the seasonal slowdown that comes due to the Christmas break.
The real indicator of market health is the annual rate of growth and, with house prices increasing by 4.6% over the course of last year, the market has performed very well indeed.
This is despite the fact that the nation’s buyers are continuing to contend with far higher borrowing costs than they’ve become accustomed to in recent years. However, we’ve already seen one interest rate reduction so far in 2025 and it’s shaping up to be a year of even greater positivity where the property market is concerned.”
Director of Benham and Reeves, Marc von Grundherr, commented:
“The UK property market has demonstrated a great deal of resilience, with the market moving forward at pace in 2024, despite the wider economic uncertainty that engulfed much of last year.
In London, house price growth remained static on an annual basis following a year of greater stagnation due to higher borrowing costs and higher house prices.
However, the general consensus is that we’ve very much turned a corner now and 2025 is set to be a year of positive momentum across the capital’s property market.”
CEO of Octane Capital, Jonathan Samuels, commented:
“The latest figures show that the property market has performed strongly over the last year and this improving market sentiment will have been buoyed by the base rate cut seen already in 2025.
However, with inflation rearing its head again today and to its highest level in almost a year, the nation’s homebuyers and movers could be waiting that little while longer before the Bank of England cuts rates again.
The good news is that this is unlikely to impact current market momentum and 2025 still looks set to be one of upward growth for the UK property market.”
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