UK-wide stats can be misleading and the Nationwide survey has insufficient numbers, particularly in London, to draw much of a conclusion. Dexters work extremely hard to work alongside their clients to ensure that properties are priced correctly, in line with market trends.
The prime central London market in particular is undergoing a period of adjustment following years of extreme growth – prices have increased by nearly 90% since 2008. Clients are realising that buyers are looking for value, and that their expectations (set as a result of the extreme growth in prices over recent years) are perhaps unachievable in the current market.
Ebbs and flows are to be expected, but Dexters can confidently say that there is still upward pressure on prices, with the overall trend being that of gradual increase. It’s important to remember that the prime Central London market is still adjusting to reflect the recent increase in stamp duty. Following the recent Autumn Statement we can assume that the duty is here to stay for the foreseeable future, so we can begin to expect less volatility in terms of prices.
Property values increased by 4.4% year on year in November, the weakest annual growth since January when there was also a 4.4% increase, figures from Nationwide Building Society showed. House prices edged up by 0.1% month on month in November, following a 0% change in October, taking the average property value across the UK to £204,947. Despite the slowdown, Robert Gardner, Nationwide’s chief economist, said the latest increase is in line with growth rates seen since early 2015: “There are some signs that...demand conditions have strengthened a little in recent months, reflecting the impact of solid labour market conditions and historically low borrowing costs. The relatively low number of homes on the market and modest rates of housing construction are likely to keep the demand/supply balance fairly tight in the quarters ahead, even if economic conditions weaken"