Average asking prices fall month on month across Britain
Average home prices in England and Wales fell by 0.1% in August but in Scotland they dipped further, down by 1.2%, the latest index shows.
This took the average asking price in England and Wales to £201,849 and in Scotland to £186,681, according to the data from Home.co.uk.
A breakdown of the figures shows that in London prices fell by 0.2% month on month and are 1.9% below a year ago at £516,572, while in the South East they fell by 0.2% and 1.6% to £395,476.
In the South West prices up 0.1% month on month but are now 0.7% below a year ago at £325,282, in the East of England they fell 0.3% on a monthly basis and 3% year on year to £351,148, while in Wales they were down 0.3% and were up 4.6% year on year to £211,490.
The Midlands are split. In the West Midlands prices increased 0.2% month on month and 2.7% year on year to £255,712 but in the East Midlands they fell 0.4% and 3% to £351,148.
The North West was also positive, up 0.1% and 2.4% to £207,539, while in the North East prices fell 0.3% month on month but are 1.9% above a year ago at £160,599 and in Yorkshire and the Humber they fell 0.1% on a monthly basis to £201,849, but are 2.8% higher than a year ago.
The data also shows that the supply of new instructions down in most regions but year on year it rose by 1% in the East Midlands, by 6% in the West Midlands, while there was no change in the North West.
The typical time on the market for England and Wales is currently 93 days, nine days longer than in August 2018, making it the slowest August since 2013. The worst regional slowdowns are in the East of England, up 14%, the East Midlands up 13%, the South West up 12% and the West Midlands up 11% year on year.
‘The British property market is proving remarkably resilient. Price falls in some regions are being countered by growth in others and hence the national average figures remain relatively benign for a post-boom period as we are experiencing,’ said Doug Shephard, director of Home.co.uk.
‘Low mortgage interest rates mean that there are few forced sales and this helps ensure that supply remains under control. Whilst concerns over Brexit will have dampened sentiment, as does any political uncertainty, it is difficult to quantify the effect on actual prices,’ he pointed out.
‘However, what is apparent is that the property cycle is playing out in a reasonably normal fashion, not at all resembling the potential 30% crash in prices forecast by the Bank of England. Slowdowns and price corrections always take place after a period of over exuberant buying. This is how the market naturally realigns supply and demand. Larger corrections occur after bigger booms,’ he added.