Summer Pause for Property Transactions


Property transactions slowed for the summer in July, but all regions across England and Wales still showed annual property price growth.

Transactions were down by 9 per cent in July when compared to the previous month, according to the latest Your Move House Price Index.

Bucking the trend, Wales saw the largest increase in property transactions during the second quarter of the year, despite low property price inflation.

Property prices also dipped slightly by 0.2 per cent during July, bringing the annual rate of property price growth down to 2.9 per cent, the lowest rate of property price inflation since July 2013.

Property prices in England and Wales still grew by an average of £8,433 to almost reach the £300,000 mark at £298,906.

The East of England still leads the summer property price drive, with annual price growth of 5.1 per cent, though all regions recorded annual property price growth.

Despite the national slowdown in transactions, traditionally lower priced boroughs of London and cities outside the commuter belt are beginning to see increased activity and transactions from first time buyers.

At the more affordable end of the London market, six of the cheapest 11 boroughs recorded annual property price growth, with only Greenwich seeing prices decline in the summer month.

Lewisham in particular showed strong monthly growth of 2.4 per cent, reaching a new peak average property price of £469,709

Managing Director of Your Move and Reeds Rains estate agents, Oliver Blake, said: ‘Annual prices are still rising positively and regions continue to perform strongly – despite the slowdown in transaction numbers over the summer months.’

He continued: ‘Whilst, as a business, we often see this at this time of year, the cause of the dip may also be down to the buy to let slowdown as a result of tax changes.’