Latest house price results ‘surprising’

The Nationwide Building Society’s August house price survey shows a rise in house prices nationally of 0.6%, taking the annual rate of growth to 5.6%.

This latest data comes as a surprise following the recent uncertainty following the vote to leave the EU. 

Robert Gardner, chief economist at The Nationwide, said that “new buyer enquiries have softened as a result of the introduction of additional stamp duty on second homes in April and the uncertainty surrounding the EU referendum.

He goes on to say that “instructions to sell have also declined and the stock of properties on the market remains close to thirty-year lows. This helps to explain why the pace of house price growth has remained broadly stable”.

Chris Hounsome, director at Mansell McTaggart in Crawley, commented “the picture seen nationally is certainly echoed here in Sussex and Surrey, with the proportion of new buyers we’ve registered per new instruction remaining relatively consistent this August compared to last.

“In short, we’re maintaining a strong level of demand despite any Brexit fears. I have said before and I say again, property remains a good, long-term investment that provides steady capital growth as well as either a rental income or a place to live! Property is not a vehicle for a quick buck, but I believe remains a sound investment choice over the medium- to long-terms.”