London housing slump weighs down national property prices
London’s house price slump left UK values stagnating for a fifth month in September as Brexit concerns and interest rate rises discouraged buyers.
Nationwide, prices weakened slightly last month, the Royal Institution of Chartered Surveyors (RICS) said in a report. Brokers in the capital reported the steepest slide in home values, with the south-east and East Anglia deteriorating. That was offset by increases across much of the rest of the country.
New buyer demand declined for the second successive report, with RICS’s forward-looking sales expectation indicators turning more pessimistic.
The UK housing market has lost its momentum after a three-decade boom that was fanned by a shortage of supply across the country. London, which led the explosive gains, is now bearing the brunt of concerns over the economic and political outlook ahead of Britain’s divorce from the European Union.