UK Housing Market Update August 2018
The UK is showing positive signs for house price growth and market activity.
- House prices rose 0.6% in July, according to Nationwide.
This is the second month in a row with relatively strong growth, a year to date growth of 1.3%.
- There are signs that wages may at last be increasing faster than inflation, providing an offset to rising mortgage costs.
- At a local level, the areas having seen the strongest price growth remain in the midlands, although rates of growth have slowed
over recent months.
- The biggest falls remain in London, with house prices in Kensington & Chelsea dropping 7.5%. Westminster and Islington also saw significant falls of around 5%.
- Annual rental growth remained at 0.1%, according to the ONS. The East Midlands continued to show the strongest annual growth at 2.8%, followed by the South West at 2.1%. London has been the weakest performer, with rents 0.2% lower than this time last year.