Slowdown in house prices but some regions show resilience

Slowdown in house prices but some regions show resilience

• Annual house price increase continues to slow to 0.8%
• Excluding London & South East, growth across England & Wales remains at 2.8%

The slowdown in house prices continued into October, with values flat over the month and up 0.8% on an annual basis. This is the slowest growth since March 2012, and at £298,438 prices are now roughly level with November 2016.

Transactions are also slower, down 5% in the first nine months of 2017 compared to the same period last year. The reduction is justified, though, when taking into account the surge last March ahead of the 3% surcharge in stamp duty.

Oliver Blake, Managing Director of Your Move and Reeds Rains estate agents, said: “It’s a challenging time for the market, but outside London many regions are showing some resilience.

“We have yet to see how this will change in the months to come, particularly following the Autumn Budget when it has been rumoured the Chancellor will make announcements that may impact the housing market. The good news, however, is that housing is clearly on the political agenda and any action that supports buyers and sellers – and positive movement in the market – has to be encouraged.”

Click here to read the House Price Index – October 2017 (England and Wales)

Data source: LSL Property Services