According to the UK’s largest mortgage lender, the Halifax, annual house price growth is continuing to slow down.
In the year to May, the rate of house price inflation dropped to 3.3 per cent, representing a fall from the 3.8 per cent seen in the year to April.
The Halifax said that, over the last three months, there has been very little change in house prices.
Since March, there has been a drop of 0.2 per cent in property prices, with this being only the second drop in housing prices since November 2012.
However, between April and May, there was actually a rise in prices of 0.4 per cent.
These figures contradict those given by the Halifax’s rival Nationwide, which said that there have been consistent drops in house prices, with them falling every month since March.
The Halifax’s research also says that the average cost of a house or flat in the UK is currently £220,706.
Martin Ellis, Halifax housing economist, claims that the dearth of properties available on the market would mean prices remain buoyant over the summer period.
“The fact that the supply of new homes and existing properties available for sale remains low, combined with historically low mortgage rates and a high employment rate, is likely to support house price levels over the coming months.”
Housing supply is believed to have remained at a very low level, with the number of new properties on the market falling for the 14th consecutive month.
However, there has been a rise in the amount of private sector houses being built.
