House prices in the UK fell for the first time since July 2021 last month, according to the latest statistics released by Nationwide.
The Nationwide House Price Index revealed today (1 Nov) that house prices fell by 0.9% in October compared to September, after taking account of seasonal effects, the first such fall since July 2021 and the largest since June 2020.
This means the average UK house price now stands at £268,282, down from £272,259 in September, however property experts are confident that – despite the economic challenges facing the UK – the market remains firm.
Matt Hoy, Managing Director - Residential at Bradley Hall, said: “Last month marking the first time that house price growth has fallen since July last year, when the final lockdown measures were eventually lifted, shows just how much impact the recent economic changes have had on the UK’s housing market.
“Already stretched by rising household bills caused by the sharp rise in inflation, the cost increase of borrowing for a mortgage has further strained the market, with even less people now able to afford a home despite the nation being in the midst of a chronic housing shortage.
“Nevertheless, there are still reasons to be optimistic. The changing of the guard of government with the appointment of a new Prime Minister and Chancellor has led to borrowing costs falling back somewhat in recent weeks and this could continue as the pound bounces back in value and business confidence restores.
“There will undoubtedly be bumps along the road, and the recovery may not immediate, but with unemployment at a 50-year low and plans afoot to push through planning reform and unlocking more housing developments across the country, we will hopefully see the market bounce back sooner rather than later.”
For more information on Bradley Hall, visit: https://www.bradleyhall.co.uk/
