The annual house price growth in the UK was 2 per cent in June 2018, according to the latest House Price Index from Nationwide. House price growth rate has been consistent between 2-3 per cent in the last six months and it indicates the stability in the market.
Though there is no significant rise in the number of enquiries, the supply of new properties to the market has also not changed. Consequently, the balance remains even in the housing market. If the same trend continues, it could impact the prices for the rest of 2018.
The good news is that house price growth is not likely to enter the negative territory this year, as demand remains the same. The average price of a home in the UK is estimated at £215,444. Though the average price (£468,845) of homes in London did not rise significantly, they were still twice that of the UK average in June.
The house price growth in the UK was the strongest in the regions in the UK. The East Midlands was the strongest performing region in England with prices up 4.4 per cent year-on-year. Scotland witnessed a notable pickup in annual price growth this quarter – to 3.1 per cent. In England, house prices went up by 1.3 per cent annually.
In London, houses prices are over 50% above their previous peak of 2007 levels.