House prices will rise by between 2% and 4% next year, according to predictions by one of the UK’s biggest mortgage lenders.
Halifax said that the shortage of homes for sale and “low levels of housebuilding” would continue to support prices. The prediction assumes a smooth departure from the European Union next March.
The lender, which is part of Lloyds Banking Group, recently revealed that house prices rose by only 0.3% in the year to November, its slowest rate in six years and at the bottom of Halifax’s prediction of between 0 and 3% growth. Once uncertainty clears, it expects prices to pick up.
