Data published by Halifax Bank of Scotland showed that in November, the housing price index increased by 1% after a similar increase in October (revised from +0.9%). Economists had expected a 0.8% increase. In annual terms, the increase in housing prices was 8.2%, unchanged from the previous month (revised from +8.1%). As a result, the average price of real estate reached a new record high and amounted to 272,992 pounds.
Meanwhile, over the past three months (from September to November), house prices have increased by 3.4%, recording the strongest quarterly increase since the end of 2006.
Commenting on the latest data, Russell Galley, managing director of Halifax, said: "The rise in housing prices continued in November, recording the fifth monthly increase in a row. Meanwhile, since the beginning of the pandemic (in March 2020), house prices have increased by 33,816 pounds, which is 1,691 pounds per month. The performance of the market is still supported by a shortage of affordable real estate, a strong labor market and low mortgage rates. Looking ahead, there is a lot of uncertainty right now, and interest rates are expected to rise to protect against further inflation. Economic confidence may also be undermined by the emergence of a new variant of the omicron virus, although it is too early to talk about any long-term consequences."