Average Housing Price in UK has Never Been Higher According to New Study

Average Housing Price in UK has Never Been Higher According to New Study

Remortgaging has not seen the opportunity presented as it is now for years.  Equity levels for homeowners have risen so much and so quickly that many have been pushed to visit property listing Web sites weekly, daily or even more frequently to determine how much their value has increased.  With more equity comes better remortgage deals and a greater cash value to collect with a remortgage.  The opportunity to consolidate debt, to make long awaited purchases or make higher yield investments is on the mind of many homeowners as they consider a new remortgage.

The increase in house prices has been a long awaited recovery for homeowners but the rapid rise has pushed many to worry that are outside the realm of simple property ownership.  Economists and other experts are worried that the UK housing market is reaching the level of becoming a housing market bubble that will burst and cause the recent economic recovery to sideline.  Others however, have insisted that the housing market is capable of natural correction with the new Mortgage Market Review in place to produce responsible borrowing by those looking to remortgage or obtain a new purchase mortgage.

According to recent information from Nationwide, house prices have past the pre-recession peak after 13 consecutive months of growth.  The average housing price in the UK is now £186,512.  This means that the average house price in the UK is the highest it has ever been.

Should house prices continue to rise then there will likely be a push to withdraw programmes such as the Help to Buy scheme that assist first time buyers which is thought to be part of the strong demand for property.  Interest rates could also be increased as well to cool off the housing market.

London property is by far the market with the strongest demand and while London is performing well, there are other areas in the UK that are at a slower pace of growth.  Shutting off the ability to gain entrance onto the property ladder in these other areas by taking away the Help to Buy scheme could hurt economic growth as it is impacted by a healthy housing market.

Homeowners that are considering a remortgage should consult a remortgage broker or lender for expert advice if they are on the fence about getting a new deal.  The rates are low and cheap remortgages may not remain as attractive as they are now.

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