In line with many predictions, and partly due to the cost of living crisis and high interest rates, house prices fell in December for a fourth consecutive month.

According to Halifax, house prices in December fell by 1.5% compared to November with the average price in the UK now sitting at around £281,272 with prices now at levels last seen in February and March 2022. Halifax, who are the UK’s largest lender expects buyer sand sellers to “remain cautious” over the next 12 months however, the recent drop in prices may cause alarm for those looking to sell their properties in the next few months if the market doesn't show signs of recovery in the first few months of 2023.

Rising interest rates have weighed on the housing market. The Bank of England has increased rates nine times since December 2021 to try to dampen the rate of price rises, also known as inflation. Interest rates are currently 3.5%, the highest level in 14 years. And while mortgage rates have fallen since the government's controversial "mini budget" last September they are still higher than they were at the beginning of 2022 with no signs of reducing down to what was on offer around 12 months ago. Leading experts expect the house market to slow over the course of the next 12 months due to  the wider economic environment.

However, whilst house prices may be starting to come down, the positive news is that prices are still higher than pre-covid levels and it could be that your house is still worth a lot more than it was 2-3 years ago. So if you are considering selling your home, why not list it today and take advantage of homebuddy. By using homebuddy you can test the market and gauge initial interest in your home for free and with no commission payable, there really is no risk to you. 

Contact us today on This email address is being protected from spambots. You need JavaScript enabled to view it. if you are thinking about selling your home and would like further information.