For the first time in months, UK house price growth slowed by 10%.
This is how the industry reacted to the latest Housing Price Index.
Annual UK house price growth slowed in July to 10.5 percent, according to the latest national house price index. According to the index released this week, it showed that while home prices continued to rise at a tremendous rate, growth between July 2020 and July 2021 was 10.5 percent, compared with 13.4 percent between June 2020 and June 2021.
Robert Gardner, a chief economist at Nationwide, said: “Annual UK house price growth slowed to 10.5 percent in July, from a 17-year high of 13.4 percent the previous month. On a month-on-month basis, house prices fell 0.5%, after accounting for seasonal effects, following a 0.7% rise in June.”
“The modest setback in July was not surprising given the significant gains in recent months. In fact, house prices rose an average of 1.6 percent a month during the April-June period, more than six times the average monthly gain recorded in the five years before the pandemic.”
He added: “It is likely that the reduction of the stamp duty exemption in England has also removed some of the heat from the market. The zero rate band threshold decreased from £ 500,000 to £ 250,000 at the end of June (will return to £ 125,000 at the end of September.”
“This provided a strong incentive to complete home purchases before the end of June, especially for properties of higher price. For those buying property over £ 250,000, the maximum stamp tax savings dropped from £ 15,000 to £ 2,500 after the end of June.”
“After such a massive increase in prices, this is a healthy correction.”
Sundeep Patel, Together’s sales director, said: “The latest Nationwide home prices report a slight 0.5 percent drop after a 0.7 percent increase the previous month. Annual house prices also fell to 10.5 percent in July, from 13.4 percent in June. Even though house price growth is cooling slightly, we continue to see double digits. In fact, while the stamp duty holidays and cheap mortgage deals boosted prices, the growing shortage of available stock and the fact that the property continues to sell for more than the asking price threatens the opportunity to find something for those that are not on the ladder yet affordable this year.”
HICH LTD has revolutionized the property survey market since day one! Are you looking for a roof, structural, or bespoke survey? Request it here!
Follow us on our social networks to keep up to date with the most relevant property market news, tips for being a responsible homeowner, and much more!
Twitter: @HichLTD
Facebook: HICH-LTD
We are recruiting Freelance Surveyors and Building Inspectors to carry out Roof & Property Condition Inspections. You will be required to inspect and assess the full external and internal condition of various property types, new and old, including Domestic and Commercial. The position is Home-based, covering all postcode areas throughout the U.K.
Fees range from between £150-£195 per inspection, previous experience in building surveying and or buildings insurance claim surveying with a proven track record or property inspection experience essential.
If you or someone you know meets these requirements and wants to be part of the team of the best surveying company in the UK, don’t hesitate to get in touch with us at hichinfo@aol.co.uk.
