The housing market continues to slow, with annual house price increases down to just 0.9 per cent, the lowest rate of annual growth for six and a half years.
This slowdown was driven by price falls in the South East, the first region to report negative annual growth. House prices in the region slipped by 0.1 per cent when compared to September 2017, according to the latest market data from Your Move.
This index – which covers England and Wales – shows the average property was priced at £302,626 in September.
Your Move says that almost every region has seen a significant slowdown in the rate of annual growth. Likewise transactions remain weak, down 16 per cent from August, with an estimated 72,500 sales in September.
Despite problems in the South East, house prices in Greater London appear to be staging a recovery, and are up 3.9 per cent year-on-year. Your Move says it is growth in the lower priced boroughs that has helped sustain prices in the capital.
Outside of London, the stronger growth was seen in the West Midlands and East Midlands, up 2.9 per cent and 2.3 per cent respectively.
Your Move says that overall 73 out of the 108 unitary authority areas in England and Wales still show prices rising over the year, although this is six less than in July.
Your Move director Oliver Blake says: “The chancellor will face a difficult balancing act for housing when he comes to do his budget at the end of this month. He’ll probably be keen to tackle the continuing problems with affordability whilst addressing ways to stimulate the market.”