House price growth back up to 0.8%

Annual house price growth reached 0.8% in the year to November 2019, Nationwide’s house price index has found.

While this is modest it represents an increase from 0.4% annually to October 2019 after prices rose by 0.5% month-on-month.

The typical price currently stands at £215,734.

Robert Gardner, Nationwide’s chief economist, said: “Annual house price growth remained below 1% for the 12th month in a row in November, at 0.8%, though this was the strongest outturn since April.

“Indicators of UK economic activity have been fairly volatile in recent quarters, but the underlying pace of growth appears to have slowed as a result of weaker global growth and an intensification of Brexit uncertainty.

“To date, the slowdown has largely centred on business investment, while household spending has been more resilient.”

Dilpreet Bhagrath, of online mortgage broker Trussle, said: “With the UK’s political uncertainty ramping up in the run up to December’s General Election, it’s possible that many would-be buyers are adopting a ‘wait and see’ approach to see how this might affect the housing market.”

Mike Scott, chief property analyst at Yopa estate agent, said: “We expect slow but steady house price growth to continue throughout next year, unless there is a significant change in the underlying economic fundamentals such as a rise in unemployment or interest rates.”