The Housing Price Index in April of Nationwide has just been published that it reveals that the annual rate of housing price growth slowed to 3.4% in April, from 3.9% in March.
According to the data, the average price of a residential property fell by 0.6% month by month.
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*Seasonally adjusted figure (keep in mind that the changes of % per month are reviewed when seasonal adjustment factors are restored)
Robert Gardner, chief economist of Nationwide, said: “April saw a deceleration in the growth of the United Kingdom housing to 3.4%, from 3.9% in March. Housing prices fell 0.6% month to month, after an account of seasonal effects.
“The softening in the growth of the housing price was expected to be expected, given the changes in the bell tax earlier.
“The market is likely to remain a bit soft in the coming months, after the patterns that are typically observed after the end of the bell tax vacation. However, the activity is likely to increase constantly as summer progresses, the underlying conditions of Webcer for possible housing buyers in the United Kingdom remain supportive.
Unemployment remains low, the increase in the ear at a healthy rate in real terms (after inflation accounting), home balance is strong and it is likely that the costs of loans will be moderated a bit if we are lowering the anal state for the ac arrival and mythherne more. In fact, exchange rates (which support the mortgage price of the fixed rate) have been modernized in recent weeks.
Industry reaction:
Amy Reynolds, sales director at Antony Roberts, said: “The End of the Stamp Duty Concession in Marchoped Sub of the urgency from the market. Largely Untlaralty, England Larest Bank Largely Untlastlytly, Engtlation, Englation Englation, England Laresty Laresty largely without problems, Inglation, England Laresty Laresty Laresty largely.
“The possibility of lower mortgage rates is to keep many cautious buyers, especially buyers for the first time and mortgaged motors.
“We are discovering that the London real estate market is trapped between a rock and the pricing expectations of sellers of difficult places, participating in prime and popular baits, are still compared to the offers of the buyers, they are historically low historically that the levels of actions are historically low.
“The best properties in their class are still attracting strong competition and, in some cases, reaching excellent prices. Buyers continue to pay a premium for the properties that have a sensitive price, they present themselves well and are found in main areps. The message is clear: rlar, rlar, rlar, rlar: Rataatage, cattage.
Matt Thompson, head of sales at Chestertons, said: “Many properties of properties that would occur in April were completed in March, since the buyers were driven to overcome the changes in the seal tax thresholds. In comparison, the house hunters who entered the market in April were some marine marine who paid another hand, remained motivated and we have a clear elevation in the owners of their property in the sale in April to the year.
Nathan Emerson, CEO or Propertymark, commented: “Despite the worldwide economic uncertainty, it is encouraging to see that housing prices remain resistant month by month. This provides many aspiring to domestic engines with a perfect opportunity to investigate the market more solid and potential for negotiation negotiation.
“The real estate market remains one of the many trunks of the United Kingdom economy, but with the average housing prices throughout the United Kingdom, there are generally about seven times the average annual gross salary, the United Kingdom government and the delegate tar are carried out satisfactorizing the demand for long data versus offer problems.”
Jeremy Leaf, real estate agent of northern London, commented: “It is not surprising that housing prices have softened a bit now that the hurry has passed to take advantage of bell tax vacations.
“However, most vendors have maintained their properties in the market and with the approach, four out of five are also said to be buyers, the activity has been maintained at a higher level than we might dare to wait.”
“Looking towards the future, we anticipate the same economic uncertainty of the whole moment will continue to reduce trust, the longer any encouragement in interest rates is delayed.”
IAIN McKenzie, CEO of the Guild of Property Professionals, said: “The latest HPI figures throughout the country that show a slight cooling in the growth of the housing price are little surprise and confirm the expected recalibration of the market after the stimbre tax race of the first quarter. As anticipated, the increase in housing supply seems to be overcoming immediate demand, naturally eliminating some vapor from the rapid pricing inflation we saw at the beginning of the year.
“This readjustment period is logical after the distortion of the artificial deadline. However, the underlying impulse of the buyer has not evaporated. Key positive drivers are emerging, as the mortgage bank increasingly competitive further further, even more, they are improving the affordability and power of loans.
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Tom Bill, head of residential research of the United Kingdom at Knight Frank, said: “Housing prices have been under pressure since the beginning of the year as the supply exceeded the demand, and buyers doubt due to the timbre tax cliff in April and a broader mood of economic uncertainty. However, the turbulence caused by the US commercial tariffs. The inflative pressure that includes the reasons for employers that include employers’ changes, which could be the Bank of Bank, which could be the bank of the slow rate.
Jonathan Handford, MD in Fine & Country, said: “The growth of the housing price fell in April, a sign that the market is beginning to feel the effects of strict affairs and reduced timbre tax incentives.
“This cooling does not surprise, since many buyers presented their purchases to overcome the March threshold change, leaving a quieter pipe after immediately.
“The fall coincides with a broader flexibility of economic pressures. IPC inflation fell to 2.6% in March, below 2.8% in February, closer to the objective of 2% of the Bank of England. Although it offers an eyebrow room it is responsibility, the obstacles, particularly for first -time buyers who browse the highest loan costs and the reduction of government support.
“The bank of England maintained the stable base rate at 4.5% at its last meeting, but they are speculated that the cuts could, like May.
“Only in this way, the challenges persist. In many high -cost areas, housing prices remain outside a significant part of buyers.
“The shortborne of April reflects a natural rebalancing after a period of demand driven by the deadline. But with the softening of inflation and the increasingly probable rates cuts, the market could recover impulse at the end of this year, the affordability caused.”
Verona Frankish, CEO or Yopa, commented: “The stability has the Key of the Health for the Real Estate Market of the United Kingdom and, although we can have a period of letter or a respite after the deadline of Tax Taxes of March, continuous buyers to center the market again, stimulated by reduction and interest rates.
“With another base rate cut, it is likely that this month we hope that the impulse of the market will continue to build and any stagnation in the growth rate of the housing price will be of short duration.”
Jason Teb, president or except, added: “Although several buyers presented transactions to take advantage of the granting of bell taxes, there is still a lot of activity in the market now this incentive is no longer available.
“Other incentives, such as interest rates reductions, are even essential. Two point -to -point base cuts in the second half of last year, followed by one so far this year, have significantly increased feeling and open to their side. With another cut next week, if you do, this will give an additional impulse in May and June, which has the potential to be busy for the market.
“The affordability remains a concern to incorporate with the even higher rates than many borrowers have been accustomed, combined with the high cost of living pressures and other pressures. Buyers who trust mortgages increase confidence to make their movement.
“With more property actions in the market as one would expect at this time of year, the average housing prices are maintained under control, although, of course, local markets and even individual properties may vary considerably. Buyers in general remain price sensitive and eager to negotiate due to affordable pressures, so that sellers must seek advice of local agents that really understand their market and price.”
