House Prices slow in May |
Nationwide's results for May have shown that house prices rose by just 0.2%, slightly up from 0.1% in April. May's results brought the annual rate of house price inflation to 4.7%, down from 4.8% in April.
Nationwide's group economist, Fionnuala Earley, commented "The price of a typical house in the UK is now £164,632, almost £7,500 more than at this time last year. This is equivalent to a price increase of just over £20 per day over the last twelve months."
The report goes on to comment that the supply of houses on the market has increased over the past few months, while the supply of buyers has declined. As supply exceeds demand, it becomes a buyer's market, with buyers able to push down asking prices.
Interest rates have also begun to rise on mortgages, as lenders expect a rise in the base rate in the coming months.