A recent report shows that property prices have fallen for the first time during the last four years.
The Halifax report recorded a 0.2% drop in the three months to April, in comparison to the preceding three months. During April, property prices fell by 0.1%, indicating that prices haven’t increased for the last four months. It is just the latest indication that the UK property market is slowing down.
Data released by the Nationwide Building Society shows that annual growth is at its weakest point in the last four years. The Bank of England stated that mortgage approvals in March fell to the lowest level in six months. According to Halifax, during the three months to the end of April, property prices rose just 3.8%, in comparison with 10% during the early months of 2016.
The Halifax also stated that demand for properties has been curbed by the rapid property price increases during recent years, combined with low wage growth, making it difficult for many to become home owners.
The shortage of housing supply in the UK has supported the property prices. Martin Ellis, the housing economist for Halifax, said that rising inflation combined with fewer jobs and slow wage growth could also be affecting the demand for property in the UK.
There are some sources of support for first time buyers, which CeMAP qualified mortgage advisers have the details to, and will be able to provide advice to any first time buyers who find that they are struggling to get on the property ladder.
