UK house price rises slip to a five year low

UK house price rises slip to a five year low

British house prices grew by a weaker than expected 2.0 percent in August, mortgage lender Nationwide said, slipping back to a level last seen in June when prices rose at their slowest in five years.

The slowdown is the latest sign of how the housing market has slowed since the 2016 Brexit vote.

Economists taking part in a Reuters poll had expected prices to rise by a stronger 2.7 percent.

In monthly terms, prices fell by 0.5 percent in August from July. The Reuters poll had pointed to a 0.1 percent monthly increase.

Nationwide's measure of house prices was showing increases of about 5 percent a year shortly before the 2016 referendum decision to leave the European Union. Britain's overall economy has slowed since the vote.

Nationwide said it continued to expect house prices to rise by 1 percent in 2018.

A Reuters poll published earlier this week showed economists expect house prices to increase nationally by 2 percent this year and next.

Published: by Radio NewsHub
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