Although there are signs that the housing market is slowing down in some areas of the country, overall property prices continued to rise across the UK in June.
This is according to the latest figures in the government’s UK House Price Index, which revealed that property values increased by 0.7 per cent in June, compared to May this year. Year-on-year, average property prices have increased by 0.9 per cent. This means the average UK home now costs £230,292.
The south west was the only region of the country to see average home values fall, dropping by 0.4 per cent in June compared to May.
In the south east, there was an above-average increase in property values at 1.1 per cent, while it’s the north east of England that experienced the biggest jump, with a 1.7 per cent rise in June.
Certain property types appear to be more popular than others and have seen their values increase by more than the average. For instance, in England, the value of detached houses climbed by 1.8 per cent, while the price of semi-detached houses went up by 1.7 per cent between June 2018 and June this year.
By contrast, the value of flats and maisonettes fell by 2.7 per cent in the same period.
Speaking to the Guardian about the latest data, Nick Leeming, chairman of Jackson-Stops, said that uncertainty is one of the main factors causing sectors of the housing market to slow. “Data makes it clear that continued uncertainty as we creep ever closer to leaving the EU without a deal has caused hesitancy in some areas of the property markets,” he asserted.
However, data released by the Royal Institution of Chartered Surveyors (RICS) earlier this month suggests that there’s more interest from new buyers than there has been in recent months.
Its July Residential Market Survey found that eight per cent more respondents reported an increase in interest from new buyers in July. This marks the second month of increasing new buyer enquiries, RICS revealed.
But despite an increase in the number of people looking to get on the property ladder, this hasn’t quite filtered through to sales, with newly agreed sales slipping to -6 per cent in July from +3 per cent in June.
Chief economist at RICS Simon Rubinsohn said that the government can only do so much to help improve the situation. “Some support may be provided by an easing in the cost of money which could feed through into lower mortgage finance costs, but this may be insufficient to provide a spur to lift activity given the clouds hanging over the economy,” he stated.
If you’re looking at buying your first property, it’s wise to find experienced conveyancing solicitors in Surrey, or wherever you live, to guide you through the process.
There is a lot to consider when you’re purchasing a property and although it can be tempting to do the conveyancing work yourself to save some money, there is a risk that you will miss something important that could cost you a considerable amount further down the line.
