UK house price growth remained weak in June amid growing uncertainty over Brexit, new data from Nationwide reveals.
House prices rose 0.5% year-on-year, slowing from the 0.6% rise recorded in May.
Commenting on the results, Robert Gardner, Chief Economist at Nationwide, said: “The UK’s annual house price growth rate remained below 1% for seven consecutive months in June, at 0.5%.”
“Survey data shows that new buyer inquiries and consumer confidence have remained weak in recent months. “Indicators of activity remain broadly stable,” continued Robert Gardner.
“Housing market trends will continue to reflect broader economic developments. Healthy labor market conditions and low borrowing costs will provide fundamental support, while price growth will continue to rise in the coming months. “Uncertainty is likely to continue to weigh on sentiment and activity, with trading levels likely to remain near current levels.”
Northern Ireland continued to be the best-performing country in the second quarter, with annual price growth rising to 5.2% from 3.3% in the previous quarter, Robert Gardner added.
Prices in London fell for the eighth consecutive quarter, but the pace of annual decline slowed to 0.7% from 3.8% in the previous quarter.
Across England, the Outer Metropolitan Region was the weakest region in the three months to June, followed by the Outer South East.
“Elsewhere in England, annual price growth remained relatively modest in the second quarter, with Yorkshire and Humberside the strongest performing region, rising 3% year-on-year.”
“House price growth across the North of England (North, North West, Yorkshire & Humberside, East Midlands, West Midlands) averaged 2.1%, continuing to rise in the South of England (London, Outer Metropolitans, Outer South East, East Anglia). exceeds the rate of price increase. However, these trends are not entirely unexpected, following several years of continued strong performance in London and the South, with further increases in affordability in these areas. It remains.”
The slowdown in house price growth comes against a backdrop of political and economic uncertainty as people look forward to another Halloween extension of Brexit.
