Properties having prices reduced whilst on the market at highest level for 6 years according to Home.co.uk
Latest Home.co.uk Asking Price Index report- July 2018 headlines ‘Price Cutting Nears 6-Year High’.
The report reveals that home prices are basically static overall, rising a mere 0.1% this month. The total number of properties having their price reduced whilst on the market at highest level since Oct 2012.
According to Home.co.uk the number of properties on the market continues to grow overall, driven mainly by supply surges in the East, South East and South West. By way of contrast to the woes of the South, the northern regional property markets are thriving, as is Wales.
Doug Shephard, Directorat Home.co.uk said:
“So how long will London prices keep falling? This is a key question for the UK market as a whole, as history tells us that what happens first in London happens later to the rest of the regions.
“The answer could be quite simple: when rental yields return to attractive levels. For that to happen, either prices must come down or rents must rise or both. In fact, the current trends show both processes are occurring already, but slowly. Prices have fallen around 2.7% over the last year and rents have risen 3.0% at the same time. However, the typical gross yield for London (around 3.8%), whilst improving, is still much less attractive than in many other parts of the country. In Prime Central London, it’s much worse. Yields in the North and West are much higher and that is what is driving those markets. In Leeds, for example, the typical yield is an attractive (and reasonably profitable) 6.0%. ” more….
Read the Home.co.uk Asking Price Index report 12th July 2018 in full click here.