“Today’s data is yet another indicator of slowing house prices in the UK, as London values were struck by a 1% drop in the year to February. As the housing market continues to cool in 2018, prospective buyers are at least being offered a glimmer of hope as they weigh up their chances of stepping onto the property ladder at reduced rates.
“Despite this, on the other side of the coin, homeowners who have enjoyed rising prices for years may need to brace themselves for a continued period of uncertain value growth as we enter the spring house-selling season, and there are legitimate questions to be asked about whether the London market bubble will continue deflating.
“Despite the modest increase in affordability, confidence in the UK housing market will remain subdued over the coming months, as a shortage of instructions and a potential rate rise will do little to reassure first-time buyers despite a decline in sellers’ expectations. Through times of ongoing uncertainty, sufficient supply of housing stock will be essential if more properties are to be brought within reach for market hopefuls.”