Lloyds Index Shows UK House Prices Falling 0.6% in October
UK house prices fell in October, marking the fourth consecutive monthly decline, with the pace of the drop the sharpest in more than three years.
UK house prices fell in October, marking the fourth consecutive monthly decline. According to the house price index of banking group Lloyds Banking Group, prices dropped by 0.6 percent compared with September. This is the sharpest monthly fall in more than three years; Lloyds' previous similar decline was recorded in August 2023, when prices fell by 1.6 percent.
The average value of a typical property in October was 296,285 pounds sterling. Compared with September, the average price decreased by 1,882 pounds. The decline came as a surprise to the market, which had not expected such a noticeable price movement in late autumn.
The main cause cited by analysts remains high mortgage interest rates. The high cost of borrowing is holding back buyers and making transactions less affordable for some households, which is directly reflected in price trends. According to available data, this factor remains the main pressure on the housing market.
It is important to note that the data was published by a single lender. The Lloyds index reflects that bank's estimates and is not official statistics, so its conclusions should be compared with other sources on the state of the market. This limitation concerns the interpretation of the figures but does not change the fact of the decline recorded in the index.
The future trajectory of the market remains unclear. It is not known whether price declines will continue in the coming months, and the sources provide no forecasts regarding changes in interest rates or the timing of a possible recovery. Without such benchmarks, it is impossible to judge, based on the available data, whether the October fall marks the start of a longer downturn or an episode amid stabilization.
Source: theguardian.com
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