The shortage of second hand homes available on the UK housing market is making an impact on the average price for a home. That price now sits at more than £204,600 which is almost a 10% increase compared with the same time last year. It is also a 3% increase on the previous 3 months up to August. The price has been increasing for weeks with the help of continued recovery and mortgage rates which remain affordable, according to Halifax.

This news is discouraging to not only first time buyers, but anyone who is looking to move home. There is also not much relief in store as the race to purchase property before the increase in base rate continues to heat up. There is however a positive factor regarding the purchase of a home. The average monthly cost of a house is more than £50 lower than the cost to rent.

Martin Ellis of Halifax commented on the latest data regarding the UK housing market, saying: "The underlying pace of house price growth is strong. The shortage of second-hand properties for sale on the market is resulting in upward pressure on house prices. At the same time, economic recovery, real earnings growth and very low mortgage rates are supporting housing demand.”

Ellis added: "Strengthening demand and highly constrained supply are likely to mean that house price growth continues to be robust in the short-term."

Another aspect of the market is moving along at a strong pace as well, remortgaging. Activity within the sector continues at a brisk pace as many house owners search for the last remaining attractive deals from lenders holding back on a rise in their own rates.