London, United Kingdom (4E) – Growth in house prices in the UK is showing “tentative signs of moderation”, according to the nation’s second-largest mortgage lender.
Nationwide reported that house price inflation was easing, on both a quarterly and monthly basis. On an annual basis, price growth was higher in March, with prices growing 9.5 percent from the previous year.
The gap between house prices in London and the rest of the UK has climbed to a record high. Average prices in the capital have more than doubled those in the rest of the country, at 362,699 pounds.
For the entire country, overall average house values are at 180,264 pounds, the highest since January 2008, although that figure remains 3 percent below the peak in 2007.
Last month saw the 15th straight monthly increase in prices, although the rate of growth is easing. Prices jumped 0.4 percent in March, according to Nationwide, compared with a 0.7 percent gain in the prior month.
Prices were up by an average of 2.6 percent in the three months through March, lower compared with the 3 percent growth recorded in the three months to February.
This week, the Bank of England reported a sharp decline in the number of mortgage approvals in February, after an unusually high figure in January.