The UK real estate market demonstrates signs of gradual recovery, as the recent National report testifies. House prices rose by 0.3% in July 2024, and the annual price growth rate increased from 1.5% in May to 2.1% in July. As a result, the average cost of housing reached 266,334 pounds.
Robert Gardner, the chief economist of Nationalwide, noted that the rates of annual price growth are the highest since December 2022, but still 2.8% lower than the peak values recorded in the summer of 2022. He also emphasized that the activity in the housing market in recent months has been stable, and the number of approved mortgage loans was about 60,000 per month.
Last week, the Bank of England reduced the key rate to 5%, which gives hope to potential buyers of apartments to further reduce the rate and cheaper loans. Nevertheless, experts warn that a cheaper mortgage will most likely lead to higher requested prices.
