Good news for first-time buyers? House prices have stalled and look set to flatline for the rest of the summer, according to the latest figures from property website Home.co.uk

The average asking price for a property in England and Wales is currently just 0.5% higher than it was a year ago, with prices in some areas actually falling.

This slowdown is being blamed on a number of factors, including the rising cost of living and uncertainty caused by the upcoming general election.

North-South Divide

The figures show a clear North-South divide in the property market. While asking prices in the North of England are rising, they are falling in many parts of the South.

For example, asking prices in the North East of England are up by a huge 10.2% year-on-year. In contrast, asking prices in the South West have fallen by 3.5% over the same period.

Election Uncertainty

Experts believe that the upcoming general election is making people think twice about moving home.

With the outcome of the election uncertain, many potential buyers and sellers are likely to delay their plans until after the country goes to the polls in July.

This uncertainty is likely to continue throughout the summer and could even spill over into the autumn.

Rent Rises Slowing

It’s not just house prices that are slowing down. The pace of rental growth is also easing.

Across the UK, asking rents are currently 3% higher than they were a year ago. While this is still a significant increase, it is down from the 3.5% annual growth recorded in May.

However, there are some regional variations, with rents still rising sharply in some areas. In Scotland, for example, asking rents are up by 12.3% year-on-year.

What Happens Next?

So, what does the future hold for the housing market?

Most experts believe that prices are likely to remain flat or even fall slightly over the coming months.

However, they also believe that the market will pick up again once the general election is over and the Bank of England starts to cut interest rates.

So, if you are thinking of buying or selling a property, it may be worth waiting to see what happens in the next few months.