Mortgage Industry News

← Back

Cover average house prices via a cheap mortgage

Date: Mon, 15 May 2006

Homebuyers are being forced to shop around for a cheap mortgage deal in order to step onto the property ladder as average house prices continue to rise.

Figures from property website Rightmove reveal that the average price of a home has now risen above £150,000 in every English region for the first time. Last month, property prices in the North increased by 3.6 per cent to total £153,177.

Prices in the South have been higher than £150,000 for some considerable time, with homes in Greater London averaging £308,715, whilst prices throughout England and Wales now average at £209,829.

This means that people wanting to enter the property market are being encouraged to do their research and find a cheap mortgage offer otherwise they could risk overstretching themselves, especially if the Bank of England increase interest rates in order to control housing prices.

Nationwide's commercial director Miles Shipside admitted that earlier predications that the market would stabilise had been incorrect and added: "A rise of up to ten per cent in the faster-moving regions, such as parts of London and the South, could be on the cards this year."


© 1998-2005 DeHavilland Information Services plc. All rights reserved.

Endsleigh Insurance Services Limited is authorised and regulated by the Financial Services Authority. This can be checked on the FSA Register by visiting its web site at www.fsa.gov.uk/register.
Endsleigh Insurance Services Limited. Company No: 856706 registered in England at Shurdington Road, Cheltenham Spa, Gloucestershire GL51 4UE.