The latest house price data from the Office for National Statistics (ONS) for May 2022 shows that average house prices in the UK increased by 12.8% in the year to May 2022, up from 11.9% in the year to April 2022.
The average UK house price was £283,000 in May 2022, which is £32,000 higher than this time last year.
Average house prices increased over the year in England to £302,000 (13.1%), in Wales to £212,000 (14.4%), in Scotland to £188,000 (11.2%) and in Northern Ireland to £165,000 (10.4%).
London continues to be the region with the lowest annual growth at 8.2%.
James Briggs, head of personal finance intermediary sales at Together, said: “We’re continuing to see rising house prices, primarily because the demand for homes is still outstripping supply. The housing market remains in relatively good health and can be seen as an outlier compared to other areas of the economy, which is beginning to buckle under rising inflation of more than 9%.
“These inflationary pressures are being driven by rising household bills for essentials such as food and fuel, heavily impacting on the cost of living for many. Wages are failing to keep pace with the highest inflation in 40 years, meaning affordability is becoming a major issue for would-be homebuyers.
“This, coupled with the current political uncertainty, is likely to lead to a cooling in the housing market going forwards as buyers hold out for better financial certainty before committing to large purchases, with all signs pointing to a house price slowdown in the coming months.”
