New figures show slowdown in house price growth

May 6, 2022 by Brendan O'Neill

House Prices

The growth in the average price of a house slowed during April, according to the latest figures from Nationwide, although the month still brought a double-figure year-on-year rise.

Average prices grew by 12.1% across April, compared with the same time the year before. This marks a slight slowing of the rate of growth, with March having brought a yearly price increase of 14.3%, but it still represents a significant rise in the price of a home in the UK. It leaves the average cost standing at £267,620, which is a year-on-year increase of £28,789.

Looked at from a month-to-month perspective, the Nationwide figures show an April increase of 0.3%, while for March, it was 1.1%. This indicates clear signs of a slowing down in the rate of growth, although a very gradual one.

Nationwide also found that 38% of the people over the age of 16 that it asked about their intentions regarding housing were thinking about moving or already in the middle of doing so. Close to 50% of those living in London stated this, with Wales being the part of the UK that had the lowest percentage planning a move – at 25%.

The Chief Economist for Nationwide, Robert Gardner, told Mortgage Strategy that it was still seeing high mortgage approval numbers, adding:

“Demand is being supported by robust labour market conditions, where employment growth has remained strong and the unemployment rate has fallen back to pre-pandemic lows.”

The state of the market will keep CeMAP mortgage advisor training demand high as well.