The month of September played host to a 'perfect storm' of financial troubles, resulting in the largest single drop in house prices since the credit crunch hit, it has been reported.
A drop in average
house price value of 1.7 per cent throughout the month brings the average
home price down to just £167,797.
As such, the value of the average home in the UK is now 12.4 per cent lower than it was 12 months ago, although some analysts believe the downward trend is stabilising.
Howard Archer, an economist at Global Insight, told the Times: "Affordability ratios are still very stretched, despite the double digit falls in
house prices seen so far, while lending conditions are tightening even further due to the heightened financial
market problems."
While such house price drops are worrying to owners, the news is good for first-time buyers, and as such many will be choosing to rent for prolonged periods of time in order to wait for the market to bottom out.
Any potential owners hoping to rent for the foreseeable future may wish to take advantage of
safe storage, which can provide a secure
home for excess possessions if a rented
home is smaller than desired.
© Adfero Ltd