United Kingdom: Increase in house prices slows in September
September 30, 2016
In September, home prices in the United Kingdom rose 0.3% over the previous month, which was below the 0.6% increase seen in August that had marked the highest reading in five months, according to the Nationwide Building Society (NBS). On an annual basis, home prices rose 5.3% (August: +5.6% year-on-year). The average house price was GBP 206,015 (September 2015: GBP 195,585).
According to the NBS, “the relative stability in the rate of house price growth suggests that the softening in housing demand evident in recent months has been broadly matched on the supply side of the market.”
According to the Q3 2016 quarterly release, NBS data showed that, geographically speaking, the strongest increases in prices are in Outer Metropolitan, where the average house price rose 12.4% year-on-year. This is markedly higher than the 5.1% rise that has been recorded in the United Kingdom as a whole. Other regions that saw higher-than-average price increases were: Outer South East, East Anglia and London.
Author: Dirina Mançellari, Senior Economist