The Nationwide monthly house prices index has shown that annual annual house price growth has gone negative and fell to -0.1% pa, the first drop since 2012.
In June, property values dropped month-on-month by -1.4% pm. In May, according to the Nationwide Index, the average house price fell from £218,902 to £216,403.
3 month figures show that House prices in June adjusted for the season were 3.2% lower than in April.
Nationwide Chief economist Robert Gardner said: “As the lockdown measures ease the housing market activity is likely to edge higher. Much will depend on the rest of the economy and how restrictions and activity perform”.
“Measures taken to support the economy including protecting jobs and businesses. Peoples income and keep borrowing costs down should help limit long-term damage and lessen the impact on the housing market”.
Nationwide figures show that June’s drop was not as steep as May’s -1.7% pm decline.
No surprises really considering lockdown, furlough and more people losing jobs.