Average house prices up by £6,000 in year to October, but prices still declining in London
The pace of house price growth on an annual basis has slipped to its lowest level in over five years, the latest official figures show.
According to the Office for National Statistics’ (ONS) House Price Index, UK residential property prices increased by 2.7% in the 12 months to October, to an average cost of £231,000 and some £6,000 higher than the previous year.
However, this is down compared with the 3.0% recorded in September, marking the second consecutive month that the annual rate has declined, whilst it is the weakest growth since July 2013’s level of 2.3%.
England had the lowest growth rate of all countries in the UK at 2.4%, a slight decrease on the 2.6% increase recorded in September. Northern Ireland had the highest level of growth at 4.8% in the year to Q3 2018, followed by Scotland at 4.4% and Wales at 3.8%.
Across the English regions, prices increased at the highest rate in the North West at 4.9%, with above-average growth also recorded in Yorkshire & the Humber (4.4%), the East Midlands (4.3%), and the West Midlands (3.8%).
Prices in London continued to fall for a fourth consecutive month, although the annual rate of decline in the capital eased from September’s 1.8% to 1.7% in October. The North East also registered a slight drop in prices year-on-year of 0.1%.
According to the latest Asking Price Index, an oversupply of properties to buy is causing year-on-year price declines in London, the South, and the East of England.