London house prices are at their weakest since 2008

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According to the Royal Institute of Chartered Surveyors (RICS), house prices in central London had their weakest month since the financial crisis in 2008.

With a positive balance of +6 of survey respondents reporting larger prices last month for the whole country, the rest of the country did better.

That is up from a four-year low of +1 in July. However, the survey showed that the results were evidence of an “increasingly divergent picture” across the United Kingdom.

With present growth rates of about 5%, compared to 8% before the vote, house prices have fallen since the Brexit referendum in 2016.

Prices in London have been especially hit hard, and have been affected by numerous factors including stagnant wage growth, political uncertainty, and a volatile pound.

Estate agents in the South East were expected to report a decline than a rise in prices for the third month in a row. The survey stated that prices in the capital were more likely to remain low.

While the North of England and East Anglia also reported price decreases, the rest of the United Kingdom reported growth, with the North West, Northern Ireland, the South West, and Scotland reporting the highest increases.

Overall, the number of people acquiring properties has been modestly declining over the last nine months, according to the survey. Although the South West, Scotland, and Northern Ireland observed stronger sales over August. As a result, the number of properties listed for sale on books of estate agents across the United Kingdom are near an all time low — although estate agents in London have noticed a rise in number.

Agents also announced that they anticipate rental growth to outpace that of house prices over 2018.