Nationwide Building Society House Price Index Sept 20

[Martin@AS Financial]

Key points:

- Annual price growth picked up to 5.0% in September, the highest rate since Sep 2016

- Prices rose 0.9% month-on-month, after taking account of seasonal factors

- Most regions saw a pickup in house price growth rates in Q3

Full report here:

https://www.nationwide.co.uk/-/media...ep_Q3_2020.pdf

[oracleslave]

It's not just the growth, the volume of transaction surprises me given current market conditions. What's driving that?

[PCTNN]

Also surprising because banks are pulling deals and upping interest rates on a daily basis so who the feck is buying?

[Martin@AS Financial]

Also surprising because banks are pulling deals and upping interest rates on a daily basis so who the feck is buying?

2 really good questions. Right now I would say I am seeing lots of first time buyers who have been renting and want to take advantage of the stamp duty holiday.

The second demographic I would say are those who are bringing forward their plans to leave the cities and move to commuting towns where they can get a bit more square footage and outdoor space.

[Andy2]

pent up demand due to lockdowns and stamp duty holiday is driving this market
Maybe it will crash next year when tsunami of job lossses will come

[ladymuck]

pent up demand due to lockdowns and stamp duty holiday is driving this market
Maybe it will crash next year when tsunami of job lossses will come

I wonder if people are locking in a move while they still have a job and can get a mortgage?

[wattaj]

I wonder if people are locking in a move while they still have a job and can get a mortgage?

^^ A strong possibility. As is the pent-up demand.

[Paddy]

Also surprising because banks are pulling deals and upping interest rates on a daily basis so who the feck is buying?

Anyone with spare capital is buying. It's like a game of Monopoly, those who have will win, those who don't become lose worse off.

I cannot foresee any real growth for the majority of Brits for at least 20 years to come.

[Paddy]

I wonder if people are locking in a move while they still have a job and can get a mortgage?

Good point, they may be downsizing to lower liabilities.

[rogerfederer]

It's mad to buy now, unless in an undervalued area.

Wages have deflated, not inflated, for most professionals I know once inflation is accounted for. Given the forthcoming hardship that most posters here expect it would be extremely dumb, unless you are very cash rich, to buy a property right now.