UK average house prices are continuing to raise the roof with an 8.6 per cent increase in the year to February 2021, according to the ONS UK House Price Index.
Lee Pickett, a housing sector specialist and real estate partner at global legal business, DWF, said: “We are seeing the highest level of growth in house prices for over six years and this data is yet more proof that the housing sector is a busy place to be as home owners continue to move to suit their changing needs.
“The UK’s annual house price growth means the average home is now £250,000, this is £20,000 more than the same time last year and for first time buyer, that makes the road to home ownership an even steeper hill to climb.
“The news this week that five per cent deposit mortgages will be made available to help bring first time buyers on to the housing ladder may not be enough to make a real impact for many. This is also a double-edged sword as it encourages higher indebtedness and a greater risk, in a market crash, of their property falling into negative equity.
“With the stamp duty exemption still in place, it’s clear that higher house prices are likely to be here to stay for the rest of this year as home buyers take advantage of the significant tax break to find a new home.”
