Housing market remains subdued

The Office for National Statistics (ONS) has reported that house prices have fallen on average by 0.7% since September 2019.

There has been an annual price rise of 0.7%, which makes the average property in the UK valued at £232,944.

In England, the October data shows on average, house prices have fallen by 0.7% since September 2019. The annual price rise of 0.5% takes the average property value to £248,939.

The regional data for England indicates that Yorkshire and The Humber experienced the greatest monthly price rise, up by 0.9%, while the North East saw the most significant monthly price fall, down by 2.3%.

Yorkshire and The Humber experienced the greatest annual price rise, up by 3.2% and London saw the largest annual price fall, down by 1.6%.

Steve Seal, managing director at Bluestone Mortgages, said: “Rising house prices are good for overall market optimism but bad for buyers. For those borrowers locked out of the mainstream mortgage market, getting on the ladder is not an easy thing to do. 19% of borrowers who have been refused a mortgage on the high street think that there are no other options for them, according to Bluestone’s latest Specialist Lending Tracker.

“Specialist lenders exist to serve these growing pools of underserved customers. We need to ensure that as many borrowers as possible are able to access credit to buy a home.”

Jeremy Leaf, north London estate agent and a former RICS residential chairman, added: “Although these figures reflect what was happening in the recent past rather than now, they do show a market very much in subdued mode without much change one way or the other. This is a good sign considering the political turmoil so prevalent at that time.

“The London figures in particular bear out what we have been finding on the ground – that those prepared to take a longer-term view and ignore Brexit shenanigans and other distractions were prepared to consider houses rather than flats. This may have something to do with the recent negative publicity surrounding leasehold property.

“Looking forward, we expect a general increase in prices underpinned by relatively low supply as confidence slowly returns to the market. Hopefully, this will be enhanced once the Brexit timetable is set.”

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