House prices see biggest fall for two years

House prices saw a crisp slowdown successful yearly maturation during November, the Nationwide has said, arsenic rising involvement rates deed the market.

Annual location terms maturation fell to 4.4% from 7.2% successful October, the gathering nine said.

Prices during November fell 1.4% from the period before, which was the largest monthly autumn since June 2020.

The lender added that the lodging marketplace looked acceptable to "remain subdued" successful the coming months.

Earlier this month, the government's authoritative forecaster predicted that location prices volition autumn for the adjacent 2 years.

A driblet of 9% is expected betwixt present and autumn 2024, the Office for Budget Responsibility said.

Nationwide said the lodging assemblage was inactive being affected by the fallout from September's mini-budget, which triggered a emergence successful owe rates and besides led lenders to suspend hundreds of owe products amid turmoil connected the fiscal markets.

"While fiscal marketplace conditions person stabilised, involvement rates for caller mortgages stay elevated and the marketplace has mislaid a important grade of momentum," said Robert Gardner, Nationwide's main economist.

"Housing affordability for imaginable buyers and location movers has go overmuch much stretched astatine a clip erstwhile household finances are already nether unit from precocious inflation."