The impact of Brexit on the UK housing market has been limited, with no imminent fall in prices and market activity according to the Hometracker index.
The Hometracker UK Cities House Price Index for October showed house price inflation was currently sitting at 3.2 per cent annually, with an average price of £255,200.
Both of these figures represented increases since the summer, with inflation rising from 2.4 per cent and average price increasing from £253,900.
Of the 20 cities listed in the index, six were registering inflation above 6 per cent including Leicester at 7.7 per cent, Edinburgh at 7.4 per cent and Manchester at 6.3 per cent.
House price inflation in London continued to slow, with prices falling by 0.4 per cent, but Hometrack analysis suggested Brexit had merely been a “compounding factor” in this slowdown and other market fundamentals were responsible for the slump.
Hometrack pointed to affordability, tax changes and mortgage regulation as the main drivers of London’s stagnating growth and market activity, factors it said aligned with the timing of the Brexit vote.
Kevin Roberts, director at Legal & General Mortgage Club, said: “House prices continue to rise at more sustainable rates across the country, but strong economic hubs and good transport links continue to provide first-time buyers and growing families with better value for money in the north of England.
But Mr Roberts warned the housing crisis was not yet over, with affordability issues and saving for a deposit remaining one of the largest barriers to homeownership.
He said: “The good news is that there is more choice than ever before in the mortgage market.
“With a growing number of lenders offering lower deposit mortgages, now is the time for borrowers to speak to a mortgage adviser who can help them find a mortgage to get them onto and up the housing ladder.”
Steve Seal, director of sales and marketing at Bluestone Mortgages, said while there were strong regional differences, overall house prices were continuing to creep up.
He said: “We cannot forget that many buyers are left disillusioned with a market that is failing to accommodate their needs.
“For those who cannot meet the rigid criteria of high-street lenders, for example self-employed workers, contractors or those who have suffered a financial bump, more needs to be done to ensure these borrowers are given an equal opportunity.
“As an industry, we should cater for the whole market and guide the underserved up the property ladder.”
Source: FT Adviser