Forget the national picture, house prices are plummeting in some areas, and it’s not just the big smoke! While the UK average house price has gone up by 1.8% in the last year, things are looking pretty bleak for homeowners in certain hotspots.

Where are prices falling the most?

London is leading the way down, with a massive 3.4% drop in prices over the past year. But it’s not just the capital feeling the chill.

The latest figures show that almost half of all local areas in the UK have seen prices fall in the last 12 months.

And some areas are seeing huge drops:

• City of London: Down a whopping 22.2%, meaning a house that was worth £192,553 more last year is now worth £676,544.
• Hammersmith & Fulham: Prices down 21%.
• City of Westminster: Prices down 20.9%.
• Camden: Prices down 20.8%.

It’s not just London, though.

• Merthyr Tydfil, Wales: Prices have fallen 13.7%
• Kensington & Chelsea: Down 13.6%
• Canterbury: Prices down 12.1%
• Epsom & Ewell: Prices down 10.5%
• Gosport: Prices down 10.1%
• Hertsmere: Prices down 9.9%
• Hartlepool: Prices down 9.5%
• Lambeth: Prices down 8.4%
• Thanet: Prices down 8.3%
• Burnley: Prices down 8.2%
• Middlesbrough: Prices down 8%

What’s going on?

The national picture looks rosy, but the local reality is very different. Experts say you can’t rely on those national averages to make decisions about selling your home.

If you’re planning to sell in one of these areas, you might be in for a shock. Your property might be worth less than you think, and finding a buyer could be tough.