UK house prices growth hits near six-year low as experts warn of ‘Brexit downward spiral’
Average house prices in the UK increased by 1.7% in the year to January 2019, down from 2.2% in December 2018.This is the lowest annual rate since June 2013 when it was 1.5%.
Over the past two and a half years, there has been a slowdown in UK house price growth, driven mainly by a slowdown in the south and east of England.
The lowest annual growth was in London, where prices fell by 1.6% over the year to January 2019, down from a decrease of 0.7% in December 2018.This was followed by the East of England where prices fell 0.2% over the year.
Property expert and Yomdel CEO, Andy Soloman, commented:
“Our political escapades in the European theatre continue to take its toll on the bricks and mortar backbone running through our nation. However, given the continued political uncertainty surrounding Brexit and the addition of the seasonality involved, a drop in the rate of house price growth will come as little shock regardless of how notable.
The silver lining is that the barrier to homeownership continues to grow at a muted level for the nation’s aspirational home buyers and we’re still seeing very strong growth across the regional engine rooms of the Midlands and Yorkshire and the North West.
London, the East and the South East continue to suffer greatly and unfortunately for homeowners in these regions, there’s no end in sight. However, once the pendulum does swing in the opposite direction the previous property pedigree of these regions will ensure they recover as quickly, if not quicker, than they declined.”