UK house prices rose by 3.0% to an average of £273,000 in the year to August, according to provisional estimates from the Office for National Statistics.
The latest figure shows it has eased from the 3.2%% in the 12 months to July.
Average house prices increased by 2.9% to £296,000 in England, by 2.0% to £211,000 in Wales, and by 4.0% to £194,000 in Scotland, in the 12 months to August.
The average house price in Northern Ireland was £185,000 in the second quarter, up 5.5% from the same period a year ago.
In England, the North East had the highest house price inflation at 6.6% in the 12 months to August. This was down from 6.9% in the year to July.
Annual house price inflation was lowest in London, which saw a decrease of 0.3%, in the 12 months to August. This was down from 1.3% in the 12 months to July.
Jackson-Stops chairman Nick Leeming says: “Annual house prices have remained steady in August at 3% close to last year’s 2.8%, showing that demand and supply fundamentals continue to underpin momentum.”
“Policy speculation will continue to cloud the outlook until the Budget is announced, with October’s HPI data release – due in December – poised to reveal the impact of buyer hesitancy and whether the usual Autumn bounce takes shape.”
Meanwhile, Zoopla executive director of research Richard Donnell explains: “House price inflation is slowing, but strong demand from first time buyers is keeping this measure of price inflation higher than other measures. Budget uncertainty is leading to a slowdown in sales and demand which will drive a continued slowdown in house price inflation.”
Propertymark chief executive officer Nathan Emerson adds: “Despite an economy that continues to throw challenges, especially to those on the housing ladder, it is positive to see people witness growth in their equity when looking at property.”
“Consumers have battled a very unfavourable combination of high inflation and interest rates over the last few years, and there remain potential uncertainties ahead in many cases.”
“Next month, we will see the Chancellor set down fiscal plans within the Autumn Budget, and there is widespread speculation that Stamp Duty across England and Northern Ireland may be scrapped and potentially replaced with an alternative.”
“Depending on what is proposed and implemented, there is potential to create a much smoother-flowing property marketplace. However, it is important that any new system helps remove barriers to purchasing a property for those who aspire to.”
