UK (Commonwealth) _ In the year ending in November, house values in Britain dropped at the quickest rate in almost a decade, according to the Office of National Statistics (ONS).
The ONS reported on Wednesday that the average price of a property in the UK fell 2.1% in the year ending in November 2023. In November, the average price paid for a property in the UK was £285,000, £6,000 less than the same month the previous year.
The average cost of a home is declining at its quickest rate in more than 12 years, according to Aimee North, Head of Housing Market Indices at the ONS, who noted that the yearly decline in house prices is still accelerating.
She also mentioned that annual rental prices were rising at record rates throughout the region. With the release of its index of private home rental prices for the UK market, the ONS announced separately today that private rental prices rose by 6.2% in the year ending December 2023, with prices in London seeing the largest yearly increase.
In November of last year, the average UK property price fell by £6,000 ($7,612), the sharpest rate of decline in over ten years. In accordance with the Office for National Statistics (ONS), property prices dropped by 2.1% in the year ending in November, reaching an average of £285,000—the worst decline since 2011.
With a 6% decline in prices, London saw the largest yearly reduction of any location. In England and Wales, house prices generally decreased throughout the course of the year, whereas in Scotland and Northern Ireland, they rose.
In England, the average home price plummeted 2.9% to £302,000 over the course of the year ending in November 2023, while in Wales, it dropped 2.4% to £213,000. In Scotland, the average home value rose to £194,000, signifying an annual gain of 2.2%. In Northern Ireland, the average property price rose by 2.1% a year to £180,000.
The North East of England saw the lowest decline in average home prices in the year ending in November, with a loss of 0.4%. House seekers are pausing their home searches as they wait to see whether they can obtain a better mortgage deal, according to the head of one estate agency.
The numbers released today point to a chilly end to the year, with purchasers delaying their searches to see how mortgage rates would respond as inflation declined once more, according to Jackson-Stops chairman Nick Leeming. Pressures on mortgage affordability and a change from fierce competition to a more specialized and dedicated buyer pool characterized 2023.
According to Aimee North, the average cost of a home has been declining at its quickest rate for more than 12 years. The yearly decline in house prices is still increasing. In the meantime, nationwide yearly rent hikes continue to be at record highs.
In November 2023, the average price of a house in the UK was £285,000 ?This was £6,000 less than it was a year earlier. Tenant-paid private rental prices increased 6.2% in the UK over the 12-month period ending in December 2023.
The region with the largest annual rent increase was Wales, where prices increased 7.1% from the year to December. This was a minor decrease from the 7.3% increase from the year to November. England had a 6.1% increase in rent, while Scotland saw a 6.2% increase.
London’s private rental prices rose 6.8% in the year ending December 2023, a little down from the record-breaking 6.9% increase in the year ending November 2023. Despite data indicating that it takes about ten years to save for a deposit in the face of escalating home prices, NatWest’s chairman asserted that getting on the housing ladder is not that tough.
If someone wants to purchase their first house, Howard Davies stated that they “have to save and that is the way it always used to be.” According to him, the risk of individuals being able to borrow 100% to climb on the housing ladder and then seeing sharp declines in the equity worth of their homes was what caused the financial crisis.
