Home Asking Price Index, June 2019: slowdown worsens as prices slip further into the red
England and Wales asking prices fell 0.6% year-on-year in June 2019, while typical time on market rose to 90 days, the slowest June since 2013.
This is the June 2019 edition of the Home Asking Price Index, released on 12 June 2019, under the headline:
Slowdown Worsens as Prices Slip Further into the Red
The headlines and summary below are the report's own words, with the key figures as it published them, followed by the report's charts and regional tables as printed.
Headlines
- Typical Time on Market for England and Wales is currently 90 days (median), nine days longer than in June 2018, making it the slowest June since 2013.
- National average price growth slides further into the negative (-0.6% year-on-year).
- Supply of new instructions recovers in some regions but remains down 15% in London, as potential vendors refrain.
- Typical Time on Market indicates the slowest June in the London market for ten years.
- Despite the slowdown, seasonal factors again nudge up the average home price in England and Wales (0.3% month-on-month).
- Asking prices rose again in all English regions (except the East and South East where there was no change), Wales and Scotland over the last month, mainly driven by aspiration but not mirrored by demand.
- Typical Time on Market rises indicate the worst regional slowdowns are in Greater London (+17%), the East of England (+19%), the South West (+18%) and the South East (+17% year-on-year).
- East of England is the UK's worst-performing region, with the average asking price down by 3.6% over the last year.
- Total stock levels across England and Wales remain stable.
- The largest regional supply increases were observed in the West and East Midlands (both +10%).
Summary
Overall, annualised price growth in England and Wales is sliding further into the red, -0.6%, despite a seasonal month-on-month rise of 0.3%. London's annualised losses have notched back again from 2.9% to 2.6%, paving the way for recovery. Asking price falls in the South East continue (now 2.4% year-on-year) and have worsened in the East of England (3.6%).
It's becoming increasingly difficult to sell a property in the UK, especially in those regions undergoing a price correction. Buyers are playing a wait-and-see game as prices slide and homes spend longer on the market. Aside from London, a recovery in supply in most regions suggests that vendors have got over their Brexit jitters for now, but they are going to have to be very patient and perhaps lower their price expectations.
Only three regions have outpaced monetary inflation over the last twelve months: Wales, West Midlands and Yorkshire.
Key figures
| Measure | Figure |
|---|---|
| Typical Time on Market | 90 days |
| Annual price change (England & Wales) | -0.6% |
| Monthly price change (England & Wales) | +0.3% |
| Mix-adjusted average price growth (England & Wales) | -0.6% |
| Annualised price growth June 2018 | 1.4% |
Figures are for England and Wales unless the report states otherwise, as published in the edition.
Charts from the report
Source: Home.co.uk Asking Price Index, June 2019, Indexed to May 2004 (Value =100).
Source: Home.co.uk Asking Price Index, June 2019
Source: Home.co.uk Asking Price Index, June 2019
Source: Home.co.uk Asking Price Index, June 2019. Note: Average = Mean (days), Typical = Median (days)
Regional tables
UK Asking Prices, Jun-19
| Region | Average Asking Price | Monthly % change | Annual % change |
|---|---|---|---|
| Scotland | £187,746 | 0.7% | 1.4% |
| North East | £159,483 | 0.5% | 0.9% |
| Yorks & The Humber | £201,261 | 0.2% | 3.0% |
| England & Wales | £308,409 | 0.3% | -0.6% |
| North West | £206,650 | 0.5% | 2.5% |
| West Midlands | £255,087 | 0.9% | 4.0% |
| East Midlands | £237,922 | 0.2% | 2.6% |
| East | £351,672 | 0.0% | -3.6% |
| Wales | £210,391 | 0.6% | 5.0% |
| Greater London | £517,011 | 0.3% | -2.6% |
| South East | £395,171 | 0.0% | -2.4% |
| South West | £323,852 | 0.4% | -1.5% |
UK Time on Market, Jun-19
| Region | Average Time on Market | Typical Time on Market | Annual % supply change |
|---|---|---|---|
| Scotland | 220 | 94 | 2% |
| North East | 226 | 110 | -5% |
| Yorks & The Humber | 169 | 86 | 8% |
| England & Wales | 173 | 90 | 1% |
| North West | 176 | 93 | 3% |
| West Midlands | 145 | 78 | 10% |
| East Midlands | 144 | 76 | 10% |
| East | 145 | 81 | 5% |
| Wales | 221 | 107 | 1% |
| Greater London | 182 | 95 | -15% |
| South East | 149 | 81 | 0% |
| South West | 162 | 86 | -1% |
From the director's commentary
"As we stated last month: "Brexit or no Brexit, London remains a highly desirable world city." The conditions required for a return to price growth look to have been largely met and the window of opportunity for bargain hunters is now open but may not last for long."
Doug Shephard, Director at Home.co.uk
Read the full June 2019 edition (PDF, 7 pages)
About the Home Asking Price Index
The Home Asking Price Index measures the change in the prices sellers ask for residential property across England, Wales and Scotland. Today it is computed every month from around half a million advertised homes and is mix-adjusted, so a change in what happens to be on the market does not move the figure; earlier editions state the sample they were built from. Because an asking price is set months before a sale completes, the index runs around five months ahead of completed-sale measures such as the UK House Price Index.
Every edition in the archive, back to October 2006, is listed on the index page. How we measure the UK property market explains the listing data behind it, and today's figures by area are on house prices and rental prices.
Text and figures above are quoted from the June 2019 edition as published, with punctuation normalised for the web, and are not revised. Later editions may restate them.
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