House prices fall 0.2% in June, surprising economists

House prices fell by 0.2% in June, Halifax data shows, which surprised economists who had predicted an increase. The average house price in the UK is now £288,455. Despite the recent slowdown, prices are still 1.6% higher than last summer. The housing market activity has been "broadly flat" over the past year, and Nationwide predicts that prices will "flatline at best" over the summer. The shortage of available properties, rather than demand from buyers, continues to drive higher prices. Prices are rising fastest in Northern Ireland and the northwest of England, while the east of England has seen a 0.9% decrease in prices. Halifax expects prices to rise modestly for the rest of the year and into 2025. Opinions on the near-term future of the housing market are split, with some economists predicting a tepid increase in prices this year, while others expect a 5% increase in 2025 due to rapid interest rate cuts by the Bank of England

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