UK house prices drop for first time since Brexit

British house prices suffered their first fall in monthly terms since shortly after June’s Brexit vote, the mortgage lender Halifax said on Tuesday, a latest sign of a slowing in the housing market.

House prices fell 0.9 per cent in January alone after a 1.6 per cent surge in December. A Reuters poll of economists had pointed to house prices remaining flat on the month.

It was the first fall since August of last year.

Annual house price growth cooled to 5.7 per cent, down from 6.5 per cent in December and again weaker than the Reuters poll forecast.

Halifax said house prices would continue to be supported by a shortage of properties for sale and low levels of house building, but also dampened by weaker economic growth and increasing pressure on spending power.

Last week the rival mortgage lender Nationwide said British house prices rose at their slowest annual rate in more than a year last month.

* Reuters

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