UK house prices drop for first time in a year

By Sally Burton
Published 11th Aug 2022, 09:59 BST
Although the average house price is still £30,000 higher than last year, the July drop lowered the annual rate of growth from 12.5 per cent to 11.8 per cent.Although the average house price is still £30,000 higher than last year, the July drop lowered the annual rate of growth from 12.5 per cent to 11.8 per cent.
Although the average house price is still £30,000 higher than last year, the July drop lowered the annual rate of growth from 12.5 per cent to 11.8 per cent.
The housing market shows signs of cooling, with UK house prices in July being the first to have fallen in more than a year.

The average price of a home last month was £293,221, which demonstrates a 0.1 per cent decrease month-on-month according to the most recent report from the Halifax.

Although the average house price is still £30,000 higher than last year, the drop lowered the annual rate of growth from 12.5 per cent to 11.8 per cent.

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With the nation facing the biggest increase in interest rates in 27 years amid the current cost of living crisis, some experts predict a market crash, although opinion remains divided.

Mortgage approvals have fallen for five months in a row – a strong indicator that housing market activity is cooling.

There are signs of an increase in supply, with the number of sellers lifting by 13 per cent compared to this time last year, according to Rightmove, although the number of available homes for sale remains 40 per cent lower than in 2019.

Simon Kendall, partner at Richard Kendall Estate Agents, said he has seen no evidence of change in the West Yorkshire housing market.

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