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Estate agents’ “For Sale,” “Sold,” and ” To Let” boards outside residential properties in south London on July 6, 2020.
daniel leal-olivas/Agence France-Presse/Getty Images
U.K. house prices rose in July for the first time in five months, according to a closely followed measure released on Friday.
The Halifax house price index showed U.K. prices rose 1.6% in July, taking the annual gain to 3.8%.
That is the fastest pace of annual growth since 4.1% in January.
The average price of a home was £241,604.
“The latest data adds to the emerging view that the market is experiencing a surprising spike post lockdown. As pent-up demand from the period of lockdown is released into a largely open housing market, a low supply of available homes is helping to exert upwards pressure on house prices,” said Russell Galley, managing director at the Halifax.
A reduction in stamp duty — a property tax on buyers — also is helping short-term momentum, though Galley cautioned any weakening in labor market conditions would have a negative impact on prices.
