House prices grew by 11.2% year-on year in May – but there are signs that rampant price inflation may be slowing. The May figure compares to a 12.1% rise on the year in April and is perhaps a sign that the increasing squeeze on household budgets is beginning to bite. Despite strong buyer demand continuing to push up prices, it seems that increasing borrowing costs and rising inflation are causing buyers to exercise more caution.
Chief Economist at Nationwide, Robert Gardner, commented, “We continue to expect the housing market to slow as the year progresses. Household finances are likely to remain under pressure with inflation set to reach double digits in the coming quarters if global energy prices remain high.”
- Nationwide, 2022
🚨Think carefully before securing debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
🚨 Data accurate as of the date of publication – 23.08.2022.
🚨 The above material is for informational purposes only and does not constitute a sales offer or financial advice. Before taking out any insurance, credit agreement or other financial product, you should obtain individual advice on your requirements and the general terms of the contract.
Source: Quilter Financial Planning – Essentially Mortgages Q3 2022