Tue, 01 Jul 2025

Tue, 01 Jul 2025 House prices see biggest monthly fall for over two years

The Nationwide says the fall may reflect weaker demand following April's changes to stamp duty.

* UK house prices fell by 0.8% in June, marking their biggest monthly drop in over two years.
* This decline may be attributed to weaker demand following changes to stamp duty introduced in April.
* Despite this, house prices still rose by 2.1% annually, but at the slowest rate in nearly a year.
* Nationwide expects the housing market to pick up in the coming months due to favorable economic conditions.
* Robert Gardner, chief economist at Nationwide, said that the situation for potential homebuyers remains "supportive" with low unemployment and rising earnings.
* The changes to stamp duty have made it more expensive for buyers to purchase homes above £125,000 and have also increased the tax burden on first-time buyers.
* Experts believe that the market will stabilize as buyers adjust to the new thresholds and mortgage approvals begin to increase.
* Nationwide's data only accounts for a portion of the housing market, as it excludes cash buyers and buy-to-let deals.
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