The UK’s property market is showing no signs of slowing down, with prices climbing at their fastest rate since 2007. In February alone there was a 0.5% increase in pricing, which puts annual growth over 10%.
According to Halifax, the typical UK property has reported its biggest annual capital gains since they began this index over 40 years ago. Even amidst challenges from the post-COVID world! This strong momentum will sustain this vibrant industry through rising interest rates and the increased costs associated with everyday living.
With the recent financial squeeze on many UK households, it was expected that this would have an immediate impact on property prices. However, rising interest rates and inflation have only seemed to spur more buyers through fear of missing out further down the line!
The UK property market is booming, with prices increasing and demand constant. UK property owners are reaping the benefits of a resilient investment asset, with rising prices and greater potential for capital growth. The benefits don’t stop just here, the UK rental market is also at a 13-year high, fuelled by increased demand.
So investors find the market to provide even more opportunity than ever before – not only do investors have bigger returns but they also benefit from strong rental markets that allow short-term gains too with a higher rental return!
The rising prices are attracting investors and the reassurance that comes from an asset that has been proven resilient in times of economic uncertainty makes it one to consider now.