29
Apr
House price inflation 'hits double digits'
The rate at which house prices are increasing in the UK has reached
double digits, a firm has claimed.
According to Nationwide, the annual rate of inflation in April hit
10.5 per cent.
Currently, residences are said to be worth around £167,802,
which is a rise on the £164,519 recorded in March.
This represented a monthly gain of around one per cent, the lender
noted.
Responding to the findings, chief economist at Nationwide Martin
Gahbauer said: "Given the very strong performance of house prices
from May 2009 onwards, it will take monthly increases in excess of
one per cent for the annual rate of inflation to be
maintained."
He added that one of the factors contributing to the increases in
values is the shortage of properties on the market.
In a recent bid to boost the sector, the government raised the
stamp duty threshold for first-time buyers to £250,000.
