The Nationwide have reported that house prices have risen for a seventh consecutive month, which will come as a boost to themarket.
According to figures released by The Nationwide the average house price in the UK is now £162,764, a 0.5% increase compared to October. However, the three-month on three-month measurement indicates a slowing in the rise of house prices.
The 0.5% increase indicates growing confidence in the market and this serves as a benefit to equity release customers.
More Equity to Release from Your Property
These consecutive increases have taken house prices up 2.7% on last year and closer to the levels seen in early 2006. The continued growth will have benefits for customers considering an equity release plan as they will be able to unlock more money from their home.
An equity release plan has the potential to let you take a lump sum or regular payments from the value of your home, and with no-negative equity guarantees on most plans, you’ll never owe more than the value of your property.
“House Prices Rising at a More Moderate Pace”
Martin Gahbauer, Nationwide’s Chief Economist, commented on the encouraging news for the market, saying:
“The monthly rate of house price inflation was unchanged in November at a seasonally adjusted 0.5%, leaving the average price of a typical property 2.7% higher than a year earlier. At £162,764, the average house price is at a similar level to where it was in early 2006. The 3 month on 3 month rate of change – generally a smoother indicator of the near term trend – dropped to 2.8% from 3.5% in October and 3.8% in September.
“This suggests that house prices are now rising at a more moderate pace than in the spring and summer months, when they experienced a very strong bounce from the early 2009 lows.”
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