Half of regions see house price decline

Robyn Ashman

September 18, 2019

House prices are falling in nearly half of all regions across England, according to figures from the Office for National Statistics.

Average house prices fell in London, South East England, the East of England and the South East in July when compared to July 2018,

However it wasn’t all doom and gloom as prices rose strongly in Yorkshire and the North West.

Overall house prices have increased by 0.5% since June 2019 to reach £248,837. On an annual basis prices are up by 0.3%.

Michael Biemann, CEO of the digital property lender, Selina Finance, said: “The latest house price growth data is not going to blow anyone away, but given the climate we find ourselves in that’s not exactly a surprise.

“Against the current political backdrop, we should actually be encouraged by the fact that annual price growth remains in the black, rather than dismayed that it is low.

“The blows to the market from Brexit are being countered by low supply, low mortgage rates, a robust jobs market and decent wage growth.

“Unless we have a chaotic and rancorous exit from the EU, the economic fundamentals are likely to keep prices above water in the turbulent months ahead.

“What’s also underestimated is the resilience people have acquired when it comes to Brexit. Three years of deep uncertainty have toughened us all up and people are simply getting on with their lives.”

Paul Stockwell, chief commercial officer of Gatehouse Bank, added: “This might be the lowest annual house price growth rate in almost seven years but the slow upward trajectory continues in earnest alongside plummeting transaction levels.

“High prices and low supply have become the norm, and even unsettled economic conditions and Brexit have failed to reverse the trend in house price growth while transactions fell 12.4% compared to last year.

“First-time buyers who might have hoped that Brexit would put the reigns on ever-climbing prices will be disappointed with the very small falls we continue to see in London and the South East compared to last year. These declines are insignificant when prices are already so high.”

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