House prices fall as Stamp Duty benefit is cut
The Land Registry released its latest house price data for July 2021 today
What they said
Average UK house prices in July £255,535
An increase of +8.0% or £18,848 in the year
A fall of -3.7% or £9,913 in the month
According to the latest data from the Land Registry, average UK house prices fell by almost £10,000 in July, the first month following the reduction in Stamp Duty Holiday benefit. However, on average house prices are almost £19,000 higher than they were one year ago. Irrespective of the cause of the fall in house prices, the optics are not good for the UK Government, some will ask if the stamp duty holiday was a crutch rather than a catalyst. However, just as one swallow does not make a summer, one month of provisional falling house price data does not make a crash. The real picture of house prices will emerge with time, and the true test will be what happens to house prices in the spring selling season of 2022. The Government can remain seated for now, but I suspect a few will be fidgeting in their seats rather than sitting comfortably.