London house prices have registered their first price drop for the first time in eight years. The data, which has been by Nationwide Building Society, has showed a marked slowdown in London, whilst other parts of the country have shown an increase. House prices have been falling for quite a while now in the capital, but these new results show that prices are indeed back on the rise again for the first time since the onset of the financial crisis.
London house prices fell by an average of 0.6pc in the year to September. This is made more significant when compared to the results found from the rest of the country, which registered a growth of around 2pc.
Analysts from Capital Economics have stated how: “For now, with no signs of a downturn in London’s labour market, we suspect it reflects sellers finally taking a more realistic view of what their homes are worth. If so, it is unlikely to be the start of a sustained correction.”
According to Hometrack, London’s proce growth rate is up to 1.9pc. Richard Donnell, who is head of research at Hometrack has stated how this was a “pattern [which is expected] to remain a feature of the market for the rest of the year and into 2018”
He later added how ‘the upward momentum in house price growth across regional cities shows no sign of slowing’.
This is a positive sign for the housing across London, and whilst property developments in Manchester and other regions are booming, the capital seems to be kicking the trend that they have so often been branded with and are seeing a significant change in house prices. This can help make homes in the nation’s capital a lot more affordable for those who wish to live there.