According to Halifax, house prices fell marginally by 0.1% in July to £293,221, meaning annual rate of growth of 11.8% (down from 12.5% the previous month). This rate of growth means that houses still made more (£31,021) than the average person, at c. £25,000. This slight cooldown will be welcome by those struggling with affordability constraints, since the average house price remains over 10 times average annual individual earnings.

Higher interest rates mean that for c. 850,000 property owners on variable-rate mortgages, and c. 1.1m on Standard Variable Rates (SVRs), costs increase. These property owners become more willing to sell, and at lower prices, boosting liquidity and supply in the housing market. 
As ever, cash buyers have the upper hand in some respects but they will also now have a higher cost of holding cash.

For the full articles, click the links below:



On Interest Rates:

Financial Reporter

Bridging & Commercial

The Intermediary


On Halifax HPI:

Shropshire Star

The Evening Standard

The Daily Mail

The Paul Ross Show

The Intermediary

House Ladder

Mortgage Introducer