Summary
UK house prices dropped by 0.5% in March as the conflict in Iran led to higher mortgage rates and reduced demand. The rise in energy costs due to the conflict has also increased fears about inflation, impacting the housing market.
Key Facts
- UK house prices decreased by 0.5% in March.
- The current average house price in the UK is £299,677.
- The conflict in Iran has caused energy costs to rise, affecting inflation expectations.
- Higher mortgage rates have emerged as a result of the situation in Iran.
- Many low-cost mortgage deals have been withdrawn recently.
- Last month's withdrawal rate of deals was the highest since a financial event in 2022.
- The uncertainty in the housing market is linked to the ongoing conflict and its economic impacts.
