London house prices down 2.9% on the month

UK house prices fell 1.2% on the month in September, with a decline of 2.9% in London, according to figures released by Rightmove.

The price drop is the first monthly fall for the late summer/early autumn period since 2013. The average asking price for a UK property is now £310,000. In August, prices fell 0.9% across the country.

The price drop excluding the capital market is 0.5%. London’s more affluent boroughs have seen the steepest price declines, with prices in Kensington & Chelsea down 14.3% on the month, while Hammersmith and Fulham were down 1.5%.

Other London boroughs saw prices increases; Hackney prices rose 5.2% while Fulham properties rose 9.4%. Asking prices rose 1.1% on a year-on-year asking price basis following a 3.1% rise in August.

Miles Shipside, director of Rightmove said: “As we enter autumn selling season it is usual to see estate agents advising new-to-the-market sellers to push up their asking prices. But this year all four southern regions have seen new sellers on average asking less than those of a month ago, reducing the rate of national increase.”

Shipside added that estate agents were likely advising sellers to lower price expectations in the hope that this would generate greater buyer interest.