Live updates

Largest drop in house asking prices during August

House sellers' asking prices fell steeply by 2.9% month-on-month to £262,401 typically in August as the mood of the market grows calmer in London in particular, website Rightmove has reported.

The dip as sellers adopt a "summer sales" attitude is the largest for the month of August that Rightmove has on its records, which go back more than a decade.

Largest drop in house asking prices during August
Largest drop in house asking prices during August Credit: Dominic Lipinski/PA Wire

Asking prices in London saw the largest monthly drop across England and Wales, with average prices in the capital standing at £552,783, which is 5.9% lower than in July.

Despite the drop, asking prices in the capital are still 10.3% higher than they were a year ago. The North was the only region to see asking prices increase month-on-month, with a 0.5% uplift pushing them to £149,354 typically.

Housebuilding soars at 'fastest rate in over a decade'

Housebuilding in Britain is increasing at the fastest rate in more than a decade amid soaring demand for property, according to a professional body. The Chartered Institute of Purchasing and Supply said that during the month of July the construction industry had one of its best performances since before the recession.

Housebuilding increases at fastest rate in over a decade.
Housebuilding increases at fastest rate in over a decade. Credit: PA

The Times reported that the institute said residential building rose at the fastest pace since November 2003 because of “favourable funding conditions and strong demand for new housing starts”.

Advertisement

'I earn a good wage but still cannot afford to move out'

Sarah Mann, 32, has a good job but was forced to move back into her parent's house in Croydon, south London, after splitting up with a partner.

She says her salary is not that of a six-figure banker's but is "better than the average wage," yet still she cannot afford to buy a property.

Speaking to ITV News, she said: "You just think, why do I work so hard, who do I do all those extra hours, if it means all I can do is find somewhere to put a roof over my head. What kind of quality of life is that?"

Shelter: Young need 'bolder action' than Help To Buy

Young people need "bolder action" than the Government's flagship Help To Buy scheme if they are going to be financially independent enough to move out of their parents' home, a housing charity said.

Campbell Robb, chief executive of Shelter, said:

The 'clipped wing generation' are finding themselves with no choice but to remain living with mum and dad well into adulthood, as they struggle to find a home of their own...

Rather than pumping more money into schemes like Help to Buy, we need bolder action that will meet the demand for affordable homes and not inflate prices further.

From helping small local builders find the finance they need, to investing in a new generation of part rent, part buy homes, the solutions to our housing shortage are there for the taking.

Politicians of all parties must now put stable homes for the next generation at the top of the agenda.

– Campbell Robb

Advertisement

Areas of UK where most adult children live with parents

Housing charity Shelter uncovered several areas of England where the number of adult children living with their mum and dad is much higher than other parts of the country.

  • Castle Point in Essex where 45% of working 20- to 34-year-olds live with their parents.
  • Knowsley in Merseyside where the figure is 42%.
  • Solihull 38% of young working adults still live in the home they grew up in.

Nearly 2m working adults 'still living with parents'

Some 1.97 million adults aged between 20 and 34-years-old are still living with their parents, according to a major housing charity.

Read: Property prices likely to double in 'broken' market

Housing
Young people are priced out of the housing market, Shelter warned. Credit: PA

Shelter said data collected during the last Census showed nearly 2m adults in England were still living with mum and dad and urged the Government to do more to help the "clipped wing generation" finally fly the nest.

A survey commissioned by the charity also found that nearly half (48%) of 250 young adults who live with their parents said they do so because they cannot afford to rent or buy their own home.

The Census also showed the number of grown up children still living with their parents varied between different parts of England.

Read: 1 in 10 have to live with parents

Reasons for buying London home 'starting to change'

The rush to buy property in the capital is slowing because pent-up demand caused by the 2008 crash has started to slow, a housing expert said.

Richard Donnell, director of research at property analysts Hometrack explained:

Overall, market conditions have been strong since early 2013, as a result of pent-up demand returning to the market outside London and with buyers encouraged by low mortgage rates and the launch of Help to Buy, but it now appears that market sentiment is starting to change.

"House prices were unchanged in London over the month, the lowest monthly change for 19 months.

– Richard Donnell

Where house prices rose and fell around UK in July

  • House prices were unchanged month-on-month in London, Wales and the North East, while they increased by 0.1% in Yorkshire and Humberside.
  • They increased by 0.2% in the East, West Midlands and the North West.
  • And by 0.3% in the South East and the South West.
  • East Anglia recorded the strongest month-on-month uplift in property values at 0.5%.
  • Across England and Wales, around one quarter (24%) of postcode districts saw prices increase over the month, falling back strongly from the spring, when around 50% of postcodes were recording price gains.
  • Around 1.5% of postcodes across the country saw prices fall month-on-month in July.
Load more updates

Advertisement

Today's top stories