As the property market continues to display signs of slowing down, houses lost £1,200 from their value during March.
According to the Office for National Statistics (ONS), the average cost of a home in the UK fell by 0.6% in March, to £215,848. The rate of annual price growth for UK properties has also slowed to its lowest level since 2013, to 4.1%. The only regions of the UK that didn’t record a price fall were Wales and the West Midlands. However, as a shortage of properties remains, house prices are expected to rise.
Experts believe that this is due to an uncertain economy, caused by an upcoming General Election and Brexit, which is causing buyers and sellers to be cautious. As property prices have experienced sharp rises in value, affordability is also stretched. As the number of properties up for sale remain at record low levels, house prices are likely to continue to rise steadily.
The biggest price drops in March occurred in London, where the average house price has fallen by £7,400, according to data released by the ONS. The north east of England also experienced a price dip by 1.3%, while the West Midlands and Wales saw property prices rise, by 0.3% and 1.4% respectively. However, despite the falling property values in March, house prices are still higher than they had been in March 2016, except in the north east, where prices were 0.4% lower.
Finding a competitive mortgage rate will help with affordability, which a CeMAP qualified mortgage advisor can help with.
