Average UK house price hit record £267,587 as stamp duty holiday drew to close

Sign up to our free money newsletter for investment analysis and expert advice to help you build wealth Sign up to our free money email for help building your wealth Sign up to our free money email for help building your wealth SIGN UP I would like to be emailed about offers, events and updates from The Independent. “Labour availability and wage inflation is now also on the sector’s radar.” Tom Bill, head of UK residential research at Knight Frank, said: “A vicious cycle of low supply is putting upwards pressure on house prices as we enter the final quarter of the year, with some prospective sellers holding off because they are unable to find anywhere to buy themselves.” He added: “We expect the supply squeeze to gradually improve over the next six months and downwards pressure on prices will therefore increase, a trend reinforced by the end of the stamp duty holiday and wider inflationary pressures in the economy. We expect UK price growth will end the year in the mid-single digits.” John Eastgate, managing director of property finance at Shawbrook Bank, said: “There may be economic bumps in the road at present, but the long-term prognosis remains strong.” Miles Robinson, head of mortgages at online broker Trussle said: “With such little housing stock across the country, it is very likely that momentum will continue.” Mark Harris chief executive of mortgage broker SPF Private Clients, said: “With September’s house prices showing the strongest rate of growth since February 2007, clearly there is still some way to go before the market runs out of steam. “The market Karen Noye, mortgage expert at Quilter, said: “Flat prices continue to lag behind other housing stock pointing to people looking for more space as they adjust to new working practices and the ability to work remotely following the pandemic.” She added: “While there continues to be a big demand and a dearth of stock prices may remain high.” Martijn van der Heijden, from mortgage broker Habito, said: “One reason house prices remain inflated is the cheap cost of borrowing, with mortgages available with an interest rate less than 1%. This could change soon though, as the Bank of England faces more pressure to raise the base rate and get a firmer grip on increasing inflation.” Here are average house prices across the UK and the annual increase, according to Halifax: – Eastern England, £310,664, 7.2% – East Midlands, £219,631, 8.0% – London, £510,515, 1.0% – North East, £155,683, 8.0% – North West, £201,927, 9.0% – Northern Ireland, £166,299, 9.3% – Scotland 188,525, 8.3% – South East, £360,795, 7.0% – South West, £276,226, 9.7% – Wales £194,286, 11.5% – West Midlands, £225,404, 7.2% – Yorkshire and the Humber, £186,815, 8.9%