Good news for the UK’s housing market, Halifax, part of the Lloyds Banking Group, has revealed that house prices recorded their first annual rise since October 2010.
According to new data released by the financial service provider, property prices in January 2013 were 1.3% more expensive than when compared to prices from the previous year.
Despite the year-on-year recorded price increase, UK property prices were down 0.2% from December.
In the 3 months leading up to January, prices were 1.9% higher than the previous 3 months, with the average UK property valued at £162,932, the lender said.
The data, which has been compiled through Halifax’s own lending figures, show that the UK’s property market is starting to show signs of recovery however, the Company has stated that the outlook for prices is still unclear.
“Overall, we expect continuing broad stability in house prices nationally in 2013,” Halifax’s Housing Economist Martin Ellis commented.
An increase in the number of approved mortgages by banks will help to inject life into the UK’s property market over the upcoming months, with the Funding for Lending scheme introduced to help reduce interest rates.
“This is likely to have been a factor contributing to the pick-up in both home sales and prices,” Mr. Ellis continued.
Last month, Land Registry reported a 1.7% annual rise in the average price of a UK property. It stated that the average price of a property in England and Wales was £162,080.
Slightly different to Halifax’s findings, Land Registry’s data is compiled by registered property sales in England and Wales, whereas Halifax’s survey is based on their own mortgage approvals.
Although the future of the UK’s property market is uncertain, it seems that those in the industry have an optimistic outlook, with many viewing these recorded price increases as a sign of things to come.