House prices fell 2.1 per cent year-on-year in July, according to the latest house price index from the Land Registry.
Prices increased 1.3 per cent between June and July, taking the average house price in England and Wales to £163,049.
London was the only region to experience an increase in its average price over the past 12 months, with prices increasing by 1.3 per cent, whereas the North East experienced the greatest annual price fall with a decrease of 8.8 per cent.
The most up-to-date figures show during May the number of completed house sales in England and Wales decreased by 10 per cent to 46,870 from 52,170 in May 2010.
The number of properties sold in England and Wales for over £1m decreased by 44 per cent between May 2010 and May 2011, from 464 to 262.