House prices will leap more than £50,000 higher on average by 2021 despite Brexit uncertainty, economists predict.
The average UK house price across the whole of 2017 will be £220,000, marking a £9,000 increase compared with 2016, according to the Centre for Economics and Business Research (Cebr).
By 2021, the average home is set to be worth around £272,000, its report predicts – a £52,000 increase compared with 2017.
Cebr expects property values to climb at a slower pace over the next couple of years as Brexit negotiations progress, with annual increases below 5 per cent. This compares with a 7.5 per cent year-on-year increase in house prices recorded in 2016.
It expects UK property prices to grow by around 4.4 per cent during 2017 – the slowest pace seen since 2013. But from 2019, growth is expected to pick up, with an annual increase of 5.7 per cent pencilled in for that year and increases of around 6 per cent in 2020 and 2021.
House prices in Northern Ireland rose by almost 6 per cent in 2016, and the average standardised price across all property types stood at £125,480. That compares to £97,428 at the bottom of the market in 2012, but way off the bubble-era peak of £224,670.