UK house prices rose by 4.7% in October, the biggest recorded monthly increase yet, according to figures from Halifax.
House prices are continuing to increase in the mainstream markets in London and the South East. The North, Yorkshire and the Humber and the South West, however, experienced the biggest price rises in October.
Halifax Chief Economist Martin Ellis says: “Last month's record rise in prices underlines the continuing strength of the UK housing market as the low level of interest rates and falling unemployment drives up demand. Affordability remains very good too: mortgage payments represent 15% of gross earnings for a typical new mortgage borrower, one of the lowest percentages since 1984 and significantly below the long run average of 22%. In addition, there remains a shortage of properties available for sale, which is adding to the upward pressure on prices.”