UK house prices drop again in July
Prices are now 2.6 per cent lower than one year ago with the cost of a typical home now £164,389
UK house prices fell for the fourth time in five months in July, as prices fell by 0.7 per cent.
"This can be only partly explained by unusually wet weather and the impact of an extra bank holiday during the quarter," said Robert Gardner, Nationwide's Chief Economist at the Nationwide commenting on the release of its latest house price figures.
“Against this difficult economic backdrop, it could be argued that UK house prices have shown resilience. While prices are currently 13 per cent below their 2007 peak, this is less than the declines seen in a number of other economies that have experienced similar or more robust economic recoveries."
Peter Rollings, CEO of estate agent Marsh & Parsons, said: “National house prices are mirroring the plight of the economy, and it is only a shortage of properties available that is preventing larger falls in many parts of the country. Mortgage lending figures are still heading south, and lenders’ conservatism is being felt most keenly by first-time buyers. This is keeping the lower tiers of the housing market sedated, removing the bottom-up impetus needed to drive a recovery in prices outside of London.
“It’s not yet clear whether the funding for lending scheme will serve as a much needed shot of adrenaline for the housing market. The prospect of the scheme has already triggered a wave of incredibly cheap rates for the equity rich, and those with substantial deposits are reaping the benefit. If we see these cheaper rates applied to higher loan to value mortgages following the scheme’s launch, we could see a bounce in first-time buyer figures, buoying sales activity in the second half of the year.”
Life & Style blogs
Guest post by Richard Sexton, business development director of e.surv chartered surveyors
Plus lateral thinking and living on London's waterways
Other popular areas include Didsbury, Clifton in Bristol, central Cambridge and West Bridgford
- 1 Man and woman arrested on suspicion of conspiracy to murder victim of Woolwich machete attack, named as Drummer Lee Rigby
- 2 'Sickening, deluded and unforgivable': Horrific attack brings terror to London’s streets
- 3 Grace Dent: I’m not sure how these people can avoid being called ‘bigots’. And the more ‘civilised’, the worse they are
- 4 Woolwich murder: They killed, then they performed - these men should be starved of our attention
- 5 Woolwich attack: The EDL will seek to exploit this evil crime for their own evil ends
BMF is the UK’s biggest and best loved outdoor fitness classes
Find out what The Independent's resident travel expert has to say about one of the most beautiful small cities in the world
Nook is donating eReaders to volunteers at high-need schools and participating in exclusive events throughout the campaign.
Get the latest on The Evening Standard's campaign to get London's children reading.
Win anything from gadgets to five-star holidays on our competitions and offers page.