English house prices fell one per cent in June with even London recording a significant 2.5 per cent drop.
Latest figures from the Land Registry show prices have declined for the tenth consecutive month while sale completions are now 39 per cent down on April 2007, at 57,831 compared to 95,223.
The North East bucked the downward trend by being the only region to record growth at 1.4 per cent month-on-month.
Prices in London fell more than any other region in England and Wales, taking the average house price in the capital to £345,136. The average price overall stands at £180,781.
The West Midlands was the area with the biggest year-on-year fall, recorded at 2.3 per cent.
There was some good news for property investors on Monday as the National Housing Federation commented on an independent report showing the UK will recover in 2010 to take the average house price to £274,700 by 2013.
Quoted by the Daily Telegraph, David Hollingworth, of mortgage broker London and Country, said:
“The Land Registry figures add to the growing catalogue of data reflecting falls in prices from one month to the next.
“The figure that will concern many is that London is shown to have suffered the largest regional change, falling 2.5 per cent. Often used as a barometer for the market, if London is not faring well then it provides little comfort for the general housing outlook.”