Although UK house prices continue to increase, they are rising at their lowest levels since 2013, according to the most recent HM land registry price index data.
House prices increased by 3% in the month of June, this is down from 3.5% in May and replicates the lowest price increases of 2013.
The average UK house price in June was £228,000. Positively, this is £6000 higher than the figures a year earlier. The average house price between May and June remained the same, offering a 0% price increase. However, in the same months a year earlier there was a 0.5% increase in house prices.
The trend in types of houses has also been scrutinised by the house price index. It is little surprise that certain properties fared better than others considering the house shortage and demand for affordable family housing in the current market.
Semi-detached properties, in demand by families, enjoyed the largest increase with a 4.4% in the month of June, rising to £216,000. This is almost £10,000 more than the average price of a semi-detached home in June 2017.
Although detached properties enjoyed an increase of 3.2% in June, this is down from 4% in May, possibly indicating that rising house prices are creating difficulties for buyers. Flats and maisonettes also struggled with only a 0.5% increase in property values.
Regionally, London properties continue to cost significantly more than other parts of the country despite a 1% dip in the average property; 2018 prices in January were £479,468 and are now at the bargain average of £476,752. This is the lowest annual growth since the pits of the credit crunch in 2009.
The Midlands enjoyed the largest property increases year-on-year with the West-Midlands finding a 5.8% increase and East-Midlands a 4.1% increase in house prices.
Jeremy Leaf, North London estate agent, commented: “House price growth outside of London is being supported by a continuing shortage of stock whereas the capital and the south-east can’t hide behind this excuse any longer.
“Price drops are continuing and reflect a new realism in the market.”
The dwindling and slowing house increases could highlight the beginning of a stagnant and struggling time for house sales. Family homes enjoying the best increases, further demonstrates the lack of stock available and aggressive market for residential property suitable for families.
These recent figures will be interesting reading for government officials that continue to speculate on how to improve the housing economy and increasing housing crisis.
Have you found family properties increasing more than other property types? Is the London Conveyancing sector worried by the recent findings? Have you noticed a decline in property sales recently?
