Annual house price growth dipped from 1.5 per cent in April to 1.2 per cent in May, driven mainly by a slowdown in the south and east of England, according to data from the Office for National Statistics (ONS).

In its latest house price index, the office highlighted that average property prices were recorded at £229,000 in the month, £2,000 higher than the same period a year ago.

However, on a non-seasonally adjusted basis, average house prices in the UK increased by 0.1 per cent between April 2019 and May 2019, compared with a rise of 0.4 per cent in average prices during the same period a year earlier. Whereas, on a seasonally adjusted basis, average house prices in the UK were unchanged between April 2019 and May 2019.

Furthermore, the ONS noted there had been a general slowdown in house price growth over the last three years and drew attention to London, which saw house prices drop by 4.4 per cent over the year, compared to a fall of 1.7 per cent in the year to April. The North East was the only other region to witness prices fall over the period, dropping 0.7 per cent.

On the other hand, the North West saw annual house price growth increase by 3.4 per cent, while the West Midlands saw a rise of 2.7 per cent, followed by the South West at 2.6 per cent.

Commenting on the findings, Trussle mortgage expert Dilpreet Bhagrath said: “London has seen the biggest fall in house prices in a decade and it’s likely that political and economic uncertainty will have impacted growth. However, for those looking to buy in the capital, the slowdown in prices will be a welcome relief.”

“As ever, it’s important to remember that any personal and future circumstances are considered when securing a mortgage and professional advice is sought after to ensure you know exactly what your options are.”

Landbay CEO and co-founder John Goodall added: “Considering the wave of political and, by extension, economic uncertainty that the UK has been riding since the start of the year - the fact that prices are still growing at all underlines the strength of the housing market. The old cliché rings true; people will always need somewhere to live.

“However, the reality is that affordability remains an almost unshakeable concern for first-time buyers despite the recent uptick in wage growth. Regionally, this is reflected in London by the recent cooling of demand in favour of areas like the East Midlands and East Anglia where prices are rising much faster.

“Prospective buyers should take heart that despite the recent fall in residential transaction volumes, there is significant appetite for mortgage lending from lenders as a collective. The fact that house price growth is slowing means now could well be the time to act.”

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