Ten Human Resources
  • HOME
  • ABOUT US
    • CANDIDATES
    • CLIENTS
    • PRIVACY POLICY
    • OPINIONS
  • CONTACT

​

UK city house price inflation running at 9.5%

29/8/2016

 
The latest Hometrack UK Cities House Price Index reveals a marked slowdown in house price growth over the last three months, led by a deceleration in London and other high value cities across the south of England.
​
The annual rate of house price inflation across the 20 cities slowed to 9.5% in July after 12 months of higher growth. The shift in momentum was due to growth stalling across a number of cities in southern England over the last quarter.
Picture

​In the three months to July house prices in London rose by just 2.1%, the lowest quarterly rate since February 2015. Furthermore, Bristol, which is the fastest growing city over the last 12 months, saw growth over the last 3 months slow to 2.6% from a recent high of 5.0% in May 2016. Prices in Cambridge fell by 1% in the last quarter although over the lst 12 months prices are 7.1% higher.

However, Hometrack can also reveal that house price inflation in many large regional cities in the north of England and Scotland shows no signs of slowing. The rate of annual house price growth in Leeds, Manchester, Birmingham, Liverpool and Nottingham continues to rise by between 7% and 8%. Focusing on activity in the last quarter, the highest rates of growth have been registered in lower value, high yielding cities where prices are rising of a lower base – Glasgow (5.2%), Liverpool (4.4%), Manchester and Nottingham (3.4%).

In Aberdeen the year-on-year rate of growth fell at a slower rate of -8.0% in July with prices up 2% in the last quarter, a sign that the housing market may have adjusted to the impact of falling oil prices on demand over the last 12 months.

Richard Donnell, Insight Director at Hometrack says: “In the absence of adverse economic trends impacting employment and mortgage rates, the near term outlook is for a continued slowdown in London towards mid-single digit growth.

"The slowdown in London is being seen across the market is not accounted for by seasonal factors with weaker demand from home owners and investors as supply grows. This analysis suggests London house price growth will continue to slow over the rest of the year. In contrast, northern regional cities will continue to register stable growth rates as households’ benefit from record low mortgages rates and affordability remains attractive.

“We continue to believe that turnover will register the brunt of the slowdown in London. In the face of lower sales volumes agents will look to re-price stock in line with what buyers are prepared, and can afford to pay. Past experience shows that this process can run for as long as 6 months and relies, in part, in how quickly sellers are willing to adjust to what buyers are prepared to pay.”

Comments are closed.
    View my profile on LinkedIn
    Picture

    Bill Pratt

    Passionate, knowledgeable and experienced recruiter for the Fenestration Industry who knows how to recruit and recruit well. Oh and a proud supporter of Bath RFC ! 

    Categories

    All
    Appointments
    Brexit
    CIPD
    Construction
    CV Tips
    Employment
    Employment Benefits
    Employment Law
    Equality
    EU ADR Directive
    European Union
    Fenestration News
    FENSA
    Home Improvement
    Industry Achievers
    Job Interview
    Learning And Development
    Lifestyle
    Management
    Performance Management
    Recruitment
    Retirement
    Sliding Doors
    Social Media
    Technology
    Training And Development
    UK Energy

    RSS Feed

Powered by Create your own unique website with customizable templates.
  • HOME
  • ABOUT US
    • CANDIDATES
    • CLIENTS
    • PRIVACY POLICY
    • OPINIONS
  • CONTACT