View more on these topics

August sees house prices at standstill

House price growth has slowed to the lowest rate since November 2005, according to Hometrack.

August has seen monthly growth of just 0.1 per cent, down from a recent high of 1.8 per cent in March.

Hometrack says it is the fifth consecutive month of slower house price growth, indicating a deep-rooted slowdown resulting from increased pressures on affordability and more cautious buyers.

London is the only region to record a price increase for August and three regions, Yorkshire and Humberside, the North and South West, have seen price falls of 0.1 per cent.

Director of research Richard Donnell says: “The housing market faces a testing time over the rest of the year.

“The increases in interest rates over the last 12 months have pushed average debt servicing costs to a 15-year high and this will continue to take its toll on levels of market activity and house price inflation over the next 12 to 18 months.”

Hometrack’s survey shows that the proportion of asking prices being achieved has slipped back to 94.9 per cent from a recent high of 95.6 per cent.

Donnell says: “Despite weaker market sentiment, demand for housing still exists but buyers have become far more sensitive to prices.

“The net result will be a continued slowdown in the headline rate of growth, with asking prices coming under the greatest pressure in the months ahead.”

Recommended

Commerce Centre signs up two more partners

The Commerce Centre has set up strategic partnerships with Affirmative Finance and Crystal Software.The Thinc Group subsidiary, which acts as a portal for non-regulated lending products, is linking with Affirmative Finance to enable advisers to access its commercial and residential bridging lending.Crystal Software’s Momentum technology platform will be used to support The Commerce Centre’s services, […]

A small question

Having just caught up with my backlog of issues of Money Marketing, something worries me. Aifa’s taskforce seems to have a membership with a preponderance of network bosses and similar. Where are the smaller IFAs? Les Shields seems to be the only one. I am sure that all these fine people will do their best […]

Healthy lifestyle?

Longer working lives and greater awarness of the need to use equities to boost returns on pension funds may mean that time is running out for lifestyling options, reports Will Henley

B&CE appoints head of sales and marketing

B&CE Benefit Schemes has appointed former Unum Provident marketing director Eugene McCormack as its first head of sales and marketing. McCormack spent five and a half years as marketing director at Unum and prior to this, he held a number of senior and board level positions within sales and marketing at Barclays Life, Prudential, and […]

Neptune video: Indian valuations and Modi’s pro-investment agenda

Kunal Desai, Head of Indian Equities, discusses his expectations for the Indian market and highlights the key indicators that he is watching for 2015.

In the video, Kunal addresses:

• Indian equity valuations and the importance of stock selection in gaining exposure to the earnings upgrade cycle

• The BJP’s strengthening ambition in its pro-reform, pro-investment agenda

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment