English House prices are flatlining at the moment dropping by 0.1% month-on-month and rising by just 1% a year, the government’s latest index reveals, taking the average to £229,431.
But the figures show dramatic differences in performance including an annual fall of 4.4% in London, a monthly drop of 1.2% in the East Midlands, an annual rise of 3.4% in the North West and a monthly rise of 1.2% in the South West.
“The data shows little indication that a spring bounce occurred in May for many regions across the country, with areas such as the South East (0.6%) and East Midlands (0.4%) showing marginal uplifts in price on the year,” says Nick Leeming, Chairman of Jackson-Stops.
Richard Donnell, Research and Insight Director at Zoopla, says: “Annual price falls in London are acting as a drag on the headline rate of UK house price growth, but after three years of price falls in London there are signs that the coverage of price falls is starting to narrow, especially looking at growth over the last three months.
“The North West’s number one position for annual price growth this month is driven by key cities such as Liverpool and Manchester where prices are rising above the growth in earnings.”
Lucy Pendleton, a director at London estate agency chain James Pendleton, says: “These figures, which show a slight uptick in house prices, are a little behind the curve, as they look at prices in May, just after the EU had agreed to extend the Brexit deadline.
“And while Brexit continues to hang over the property market like a dark, foreboding cloud, moving the EU exit date to 31st October has at least allowed the sun to shine on the London market momentarily.”
Read the ONS report in full.