House prices start to dip

HOUSE prices fell in July for the first time in more than a year, figures from the UK’s largest lender revealed.

The average cost of a home dropped by 0.1 per cent to £293,221 – the first monthly decline since June 2021.

Experts warn it is a sign the red-hot housing market is set to cool as the impact of the cost-of-living crisis and higher interest rates puts pressure on buyers.

The dip last month caused the average annual house price growth to slip to 11.8 per cent, Halifax said.

Of all the regions, Wales came out on top, with prices rising 14.7 per cent to £222,639. The South West saw the biggest rise in England. A typical property cost £310,846, up 14.3 per cent.

Russell Galley, from Halifax, said: ‘Looking ahead, house prices are likely to come under more pressure as the headwinds of rising interest rates and increased living costs take a firmer hold.’