ONS UK house price index

Industry reacts to 'subdued' UK house price growth



Annual average house price growth rose by 1.4% in the year to March 2019, up from the 1% recorded in February 2019, according to the latest ONS UK house price index.

London saw the lowest annual growth, with prices falling by 1.9% in the year to March 2019, but up on the -2.7% registered in February 2019.

John Goodall, CEO and co-founder at Landbay, claimed that despite a slight increase, UK house price growth remained “subdued”.

“For potential buyers this, combined with sustained wage growth and record low unemployment, means affordability is starting to improve,” he explained.

“However, transaction volumes remain stagnant in the face of Brexit uncertainty, and so the role of the private rental sector remains as important as ever.”

Tomer Aboody, director at MT Finance, highlighted the slight improvement in performance for London, with people willing to proceed with their property purchases.

“There is more value for money in property at this level [£2m–8m] and buyers may be able to afford what they couldn’t have dreamed of in the past,” said Tomer.

Mark Harris, chief executive at SPF Private Clients, added: “There remains a significant gap between incomes and property prices, although with lenders keen to lend and offering good rates at high LTVs, there is a glimmer of hope for those struggling to pull together the necessary deposit.”


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