UK house prices rose by an average of 2.7%, to £288,000, in the year to June, according to official data.
This was unchanged from the 12 months to May, data from the Office for National Statistics shows.
It was the fourth month in a row with an annual increase in prices, following eight months of annual falls in prices.
Average house prices in England rose 2.4% to £305,000, were up by 1.8% in Wales to £216,000, and in Scotland lifted 4.3% to £192,000, over the year to June.
Quilter financial planner Holly Tomlinson says: “Today’s government House Price Index presents a picture of a UK property market that is gradually picking up steam, despite facing challenging economic conditions.
“House prices rose by 0.5% from May to June 2024, contributing to an annual growth rate of 2.7%, with the average UK property now valued at £288,000.
“This steady, though modest, growth suggests that while the market is on an upward trajectory, it is doing so cautiously, reflecting the broader economic uncertainties at play highlighted by the slight rise in inflation just this morning.”
Atom bank head of intermediary distribution David Castling adds: “The property market appears to be in a good place. The ONS has reported that prices are continuing to rise, with improving activity levels clearly a factor.
“Rightmove’s latest research found that the number of agreed sales are up by around 15% on a year ago, for example, while the Bank of England’s decision to cut the base rate should only add to that sense of momentum, with more hopeful homeowners pursuing purchases as lenders begin to drop mortgage rates.”
Legal & General Surveying Services technical director Malcolm Webb points out: “It’s not just the weather that’s been heating up this week, with a cut to the base rate and return of sub-4% mortgage products proving to be the confidence boost that many needed to reinvigorate their searches.
“Although experts are generally predicting minimal changes to house prices for the rest of the year, lower mortgage rates do raise the possibility of more movement in 2025.”
