Homebuyers who are looking for a mortgage advisor in Derby to climb up the property ladder may need to raise a greater deposit than they thought, after recent figures showed larger homes have increased the most in value over the last year.
Property prices have soared by 10.5 per cent since May 2021, reaching a record high of £289,099 in May this year, the latest Halifax House Price Index revealed. This is the equivalent of an increase of around £26,000 for an average home.
However, home-movers have been worst hit by the surging house prices, as detached homes have increased by nearly double this, rising by £50,000 over the 12-month period.
Managing director for Halifax Russell Galley stated: “For house hunters, the extent of the impact of property price inflation continues to be linked to the type of home they are looking to buy.”
He added that while flats have gone up in price by just £10,000 since last May, the demand for detached homes is such that they have risen in value by £50,000.
“This clearly creates a knock-on effect for those looking to make their first home move, as the rungs on the housing ladder have become increasingly wider,” Mr Galley commented.
Homeowners hoping to get a good offer on their dream house might also be disappointed, as more than half of buyers are committing the full asking price to secure the purchase, Rightmove recently revealed.
The good news is home-movers also have a high chance of securing a high bid for their current residence, hopefully giving them a substantial deposit for their next house.
