Wednesday 13 November 2019 9:54 am

London house prices suffer UK's biggest September drop

House prices in London suffered the biggest September drop in the UK, according to the latest data.

Homes in the capital fell 0.4 per cent year on year that month, compared to house prices’ average increase of one per cent in England.

That left London house prices with an average value of £474,601. UK house prices’ average value ticked up to £250,677.

Read more: How London boroughs’ house prices have change since the last election

London house prices slumped 0.1 per cent between August and September.

Mark Harris, chief executive of mortgage broker SPF Private Clients, said: “London is still seeing the lowest annual growth in prices as the capital falls more into line with the rest of the country. While this is welcome for those trying to buy in the capital, let’s not get carried away as it is still difficult to afford property in London and the south east. 

“Lenders are doing their bit, keen to lend and offering ever-cheaper fixed rates but finding the necessary deposit is often the issue, which is why the Bank of Mum and Dad remains so prevalent.”

The Land Registry’s UK House Price Index data showed that the North West had the greatest annual price rise, up by 2.8 per cent.

Meanwhile, the South East reported the greatest monthly price rise in September, up one per cent compared to the previous month.

The East Midlands suffered the greatest monthly drop, down 1.2 per cent on August.

“While we are seeing tactical buyers strike at all price points and across the UK, Brexit uncertainty has now morphed into election uncertainty – and both have a proven ability to pour iced water on the property market,” Jonathan Hopper, managing director at Garrington Property Finders, said.

“For every buyer who sees opportunity amid the current soft prices, another is opting to sit on their hands until after the election result.”

Read more: UK house price growth slows in October

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