Latest UK house price data – Our positive reaction to unsettling news
The latest house price data is looking bleak for homeowners, but we are trying to see what positives we can take from this news.
UK house price data
It comes as UK house prices in September were 5.3% lower than a year earlier, matching the decline recorded in August which was the biggest annual fall since 2009, figures from Nationwide have said.
In month-on-month terms, property prices were unchanged last month after a 0.8% drop in August.
The price of an average home was £257,808 in September, nearly £14,500 lower than a year earlier.
We recently reported that ‘Homeowners slashing prices across UK & Brighton high on list.’
The latest meeting at the Bank of England last month left interest rates unchanged, providing hope for many buyers who are hoping to purchase a home that they would not have to face increased borrowing costs.
Despite the central bank’s recent decision to hold its rate at, the cost of borrowing will “probably stay elevated for the foreseeable future”, wrote economist Jeffrey Frankel in an article for The Guardian.
Positives
Sam Murphy MD of Mortgage Medics said: “It’s never a nice feeling to think that your home might have lost value, but it’s important to remember that house price inflation isn’t linear and if you take a long-term view property has always proven to be a good investment.
“Lower house prices also help first time buyers get on the property ladder, which keeps the whole market moving, and if you’re looking to upsize you could even be quids in.
“Try not to get too despondent looking at Zoopla, unless you need to sell and downsize or leave the property market, your best bet is probably to sit tight for now.”
If this has got you thinking, we’d be delighted to give you advice please get in touch and we’ll be help you understand what’s possible, or sign up to our monthly newsletter, to keep your finger on the pulse.
Related: How to prepare for the end of your fixed rate mortgage