Andy Sommerville, Director of Search Acumen, comments on ONS House Price Index, October 2016:
“October’s average house price in the UK continues to defy the dreary expectations that many had about the strength of property value growth following the Brexit vote. Naturally, stability during uncertain times like these will be welcomed by economists far and wide, but the housing crisis continues to burn a hole in our industry.
“The pattern of rising prices since 2013 is symptomatic of a chronic shortage of new housing in the UK. Estate agents are reporting fewer properties on their books and RICS are predicting an ongoing recovery and escalation in buyer demand. This October, the average UK house price was £14,000 higher than the same month twelve months before and almost £25,000 higher than the year before that. As another month passes, dreams of home ownership drift further into the distance for many.
“Thinking ahead to 2017, the political uncertainty that is likely to continue must not distract property professionals from the underlying structural issues that weigh the market down. The Chancellor’s investments announced in the Autumn Statement were broadly received with a cheer, yet they will only be a drop in the ocean without the full cooperation of all stakeholders in our market. There is no better time than the present to work together and effectively to stitch together the gap between supply and demand.”