UK house prices drop in January

Nationwide has reported a fall in UK house prices last month, with demand declining before the end of the stamp duty holiday on 31 March. Figures from the building society show that the average price of a house was down 0.3% to £229,748 between December and January, while the annual growth rate eased to 6.4% from 7.3%. Nationwide chief economist Robert Gardner commented: “To a large extent, the slowdown probably reflects a tapering of demand ahead of the end of the stamp duty holiday, which prompted many people considering a house move to bring forward their purchase. While the stamp duty holiday is not due to expire until the end of March, activity would be expected to weaken well before that, given that the purchase process typically takes several months”.

The Guardian (02/02/2021)   Financial Times (02/02/2021)   The Daily Telegraph (02/02/2021)   City AM (02/02/2021)