London House Prices Stagnant as North West Leads Growth
London's home prices have shown little movement, with a modest 0.2% annual increase. This static trend has continued for three consecutive months, as reported by the UK House Price Index. Real estate analyst Amanda Bryden attributes this to limited supply and stable gold price today.
Regionally, the North West saw the highest annual growth, with home prices rising 3.8%. In contrast, Eastern England experienced the biggest decline, falling 0.8% year-on-year. Northern Ireland followed closely behind the North West, with a 3.2% increase.
Scotland's housing market bucked the trend with above-average inflation at 1.9%. Meanwhile, the average UK home price fell slightly by 0.1% month-on-month to £288,688 in May. However, year-on-year, UK home prices rose 1.5%, accelerating from April's growth of 1.1%.
While home prices have remained relatively static in the short term, analysts like Amanda Bryden predict that falling inflation and potential future base rate reductions could reignite home price growth in the longer term. However, these changes are not expected to occur significantly in the near future.
