House prices are on the rise again, with some areas seeing the biggest jumps in two years!

September saw house prices leap up by an average of 3.2% across the UK compared to a year ago. That’s the biggest jump in two years, according to the latest figures.

But the real action is happening in the North and Scotland! The North West of England is leading the charge with prices rocketing up 5%, followed closely by Scotland at 4.3%. And Northern Ireland takes the crown with an incredible 8.3% increase!

Cheaper Mortgages Get the Ball Rolling

So, what’s behind this sudden surge? Experts reckon it’s partly down to those cheaper mortgages that have been popping up recently. Mark Harris, at mortgage broker SPF Private Clients, says that banks are battling it out to offer the lowest rates, which is encouraging more people to take the plunge.

And with the Bank of England slashing interest rates, it looks like mortgages are going to get even cheaper in the coming months. Harris reckons this could be the nudge that hesitant buyers need to finally take the leap.

Good News for Sellers Too

But it’s not just buyers who are feeling chipper. Sarah Coles, a money expert at Hargreaves Lansdown, says that sellers are also feeling more confident now that prices are on the up.

“This time of year is always pretty busy,” she explains, “but falling mortgage rates and wages growing faster than inflation have made people even more eager to buy.” This means there’s more demand for houses, which is pushing prices up.

Prices Still Below Pandemic Peaks

However, before you get too carried away, it’s worth remembering that house prices are still a tad lower than they were during the crazy pandemic property boom. They’re currently sitting at about 2% below their peak.

So, What Does This Mean for You?

This recent jump in house prices could be a sign that the market is hotting up again. If you’re thinking of buying, it might be worth getting your skates on before prices climb even higher. And if you’re thinking of selling, now could be a good time to put your house on the market and make the most of the increased demand.