House price inflation in the UK has stagnated since the Brexit vote amid ongoing uncertainty and political turmoil. In a signal of Brexit's negative impact on the housing market, September was the worst month for house price growth in the UK for more than six years, according to mortgage lender Halifax.
After increasing by 1.8% year-on-year in August, house prices rose by just 1.1% last month. Month-on-month, house prices fell by 0.4% in September after growing by 0.2% in August. Not a single one of the UK's biggest cities saw annual property growth edge above 5% in August for the first time since 2012.
According to a new index published by property website Zoopla, the market is in the process of adjusting to more realistic pricing. At the time of the referendum in 2016, the Halifax index was indicating house price growth of about 8% a year. But with the economy largely struggling and the outlook highly uncertain, experts suspect that house prices will remain soft in the near term at least.
About the Author: Glen Callow
