Prices expected to slip further
AVERAGE house prices slowed to a standstill in June as demand fell and supply continued to increase, according to Hometrack.
Demand fell by 0.5 per cent for the first time in five months with some agents citing the weather and Jubilee bank holiday.
New supply grew by 1.5 per cent in June and the survey reveals a shift in the balance between London and the rest of the country. Price growth in London remained steady at 0.3 per cent for the last three months as supply remains tight. Across all other regions there was evidence of price falls. Yorkshire’s prices fell by 0.2 per cent. Overall, Hometrack expects uncertainty and weaker demand to result in prices slipping by 1-2 per cent over the next six months.