UK house prices decreased at the fastest pace since mid-2012 in August, the Nationwide Building Society said Friday.
House prices fell 0.5 percent on a monthly basis in August, in contrast to a 0.7 percent rise in July. This was the first drop in three months and the biggest monthly fall since July 2012.
On a yearly basis, house price inflation slowed to 2 percent from 2.5 percent in July.
“Subdued economic activity and ongoing pressure on household budgets is likely to continue to exert a modest drag on house price growth and market activity this year, though borrowing costs are likely to remain low,” Robert Gardner, Nationwide’s chief economist, said.
“Overall, we continue to expect house prices to rise by around 1% over the course of 2018,” Gardner added.