Andy Sommerville, director of Search Acumen, comments on ONS/Land Registry UK House Price Index, August 2016.
“Those nervously watching the post-brexit property market can take another sigh of relief as August’s house price index reveals another month of relative stability. House prices grew by 8.4% in the twelve months prior, rising 1.3% from July as supply and demand were broadly unchanged. As the uncertain future casts a shadow over the wider landscape, the resilience of the residential property sector is positioning us robustly for the significant economic and political changes ahead.”
“While we can be grateful for stability during these precarious times, which is likely to keep conveyancers busy, we must not overlook the ongoing housing crisis which continues to eat away at the hopes of first time buyers. Further house price growth will increase the deficit of affordable homes in the UK, worsened still by the 0.8% monthly fall in new-build construction output in July[1].”
“As the autumn statement approaches, we call on Phillip Hammond to address these deep rooted issues in our market to close the gap between supply and demand, and drag home ownership back into reach for the normal working people Theresa May has set out to support.”
[1] http://www.ons.gov.uk/businessindustryandtrade/constructionindustry/bulletins/outputintheconstructionindustry/july2016andnewordersquarter2aprtojune2016
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