• UK house prices rise +2.6%
  • London annual house prices fall for second time in 23 years
  • UK house prices forecast to grow +2% in 2019
  • London house prices forecast to fall by -2% in 2019

Annual London house prices have fallen for only the second time in 23 years, according to the latest data from Hometrack.

In 2018, (opens in a new window)house prices in London fell by 0.1% and are predicted to fall a further 2% in 2019. The last time London recorded an annual fall was in 2008 when prices fell by over 13% following the financial crisis.

London house prices 1997 -2019

London prices fall for second time in 23 years
Source: Hometrack UK Cities Index

House prices grow 2.6% across UK

Overall, UK house prices have grown by 2.6%, the lowest annual rate of growth in 5 years. The average home increased by £6,500 over the last year to £253,500.

Hometrack expects average UK house prices to increase by 2% in 2019, with affordable regions such as Liverpool and Glasgow seeing increases of up to 5%.

o(pens in a new window)4 cities with higher growth than a year ago

Just four cities have registered higher growth than a year ago –  Manchester, Liverpool, Cardiff and Newcastle.

The two cities with the highest growth in 2018 were Edinburgh and Manchester with house prices rising by 6.6%. The only other UK city that recorded growth over 6% was Birmingham with 6.3% growth.