UK house prices fell 0.9 per cent in June, with the Brexit vote exaggerating the usual summer slowdown, according to Rightmove.
Average prices for property advertised on Rightmove’s website in the four weeks to July 9 fell by 0.9 per cent to £307,824, compared to a 0.8 per cent increase the previous month.
Asking prices usually decline in early summer, but the dip was bigger than the average 0.4 per cent fall.
The UK’s chronic housing shortage helped maintain sales momentum despite the uncertainty, with “buyers fearful of missing out on scarce choice,” according to Rightmove.
Miles Shipside, Rightmove housing market analyst, said:
Agents in areas where stock shortages were driving momentum before the referendum say activity has recovered quickly, with buyers’ fear of losing a scarce property a key factor. They say that very few deals have fallen through as a direct result of post-Brexit jitters. Those areas of the country whose housing markets were struggling or readjusting earlier in the year, such as parts of London, will continue on what is often a fairly lengthy path of price reductions to encourage buyers to return in numbers
Asking prices fell across the country, with the biggest monthly declines in Wales and Yorkshire and the Humber. Prices in the North-East saw the smallest annual increase, however, with prices rising only 0.3 per cent in the last 12 months.
Rightmove’s analysis follows a survey from the Royal Institute of Chartered Surveyors last week, which showed the lowest level of new buyer enquiries since mid-2008. Sales expectations for one year ahead also turned negative for the first time in four years, though the falls were not as severe as analysts predicted.