House prices 'will rise £45k by 2028'

HOUSE prices are expected to be around £45,000 higher on average by 2028, according to a forecast.

- Vicky Shaw

Property adviser Savills said the market looks set to "bottom out" around the middle of next year followed by a recovery in demand and buying power.

Across Britain, the average property value will increase to £300,108 in 2028, marking a £45,521 or 17.9% hike from the £254,587 in 2023.

But prices are projected to fall first - by 3.0% in 2024.

However, Savills said this will be followed by price increases as affordability pressures slowly ease.

Transactions are expected to remain at around 1.01 million in 2024, rising to 1.16 million per year in 2028, as mortgage buyers gradually return.