House prices in Wolverhampton and the West Midlands stayed steady over the summer, data just released by the Land Registry, confirming that house prices in some regions crept up slightly in August. Whilst parts of the UK are currently expecting a downturn in the wake of Brexit uncertainty, the Land Registry data, which is based on completed transactions, provides evidence that some parts of the country are still seeing a positive environment for sellers and buyers.
The East Midlands, North East and Yorkshire and the Humber are all seeing prices increase modestly month on month by 1.5, 1.4 and 1.2 per cent respectively. According to the Land Registry data, the average UK property value is now £232,797 with prices seeing an average rise of 3.2 per cent. But is Brexit really having that much of an impact on housing market activity? The answer is that clearly, it depends where you are in the country. In London and the surrounding areas, there is definitely sensitivity due to the ongoing negotiations around the UK’s divorce from the rest of Europe, mainly linked to employment where jobs may be at risk, depending on what deal is agreed. Here, the market is stagnating due to lack of confidence and activity.
However, in areas where jobs are based more on the local economy and therefore not as much impacted by the outcome of Brexit negotiations, prices are increasing and transaction numbers remain solid. It is positive to see that Wolverhampton in the West Midlands once again reporting strong annual house price growth, demonstrating greater levels of confidence in the face of our impending exit from the EU. London experienced a slight dip in prices both on the month and the year, but given we are in the midst of an uncertain and politically challenging time, this is hardly surprising however don’t let short term issues prevent you from making long term mortgage decisions if you need advice contact us on 01902 213201