House prices see steepest monthly fall for over two years

UK house prices saw their steepest monthly decline in over two years in June, falling by 0.8%, according to Nationwide. The drop, the sharpest since February 2023, is thought to reflect a dip in demand following April's stamp duty changes, which lowered the tax-free threshold for most buyers. Despite the monthly fall, prices were still up 2.1% on the year, although this marked the slowest annual growth in nearly 12 months. Nationwide expects market activity to rebound in the coming months, citing strong fundamentals such as low unemployment, rising real incomes, and the potential for lower interest rates. The gap in house price growth between northern and southern England narrowed in the second quarter, with northern regions seeing a 3.1% annual rise compared to 2.2% in the south. Terraced houses led the market with a 3.6% increase, while flats lagged behind with just 0.3% growth over the past year. 

BBC News (02/07/2025)   Financial Times (02/07/2025)   The Daily Telegraph (02/07/2025)   The Guardian (02/07/2025)