Key Takeaways
- UK house prices unexpectedly rose by 0.6% month-over-month in July, surpassing the estimated 0.5% increase and reversing the previous month's 0.8% decline.
- Annual house price growth accelerated to 2.4% in July, exceeding expectations of 2.2% and up from 2.1% previously.
- The stronger-than-anticipated figures from Nationwide Building Society (NATIONWIDE) suggest a potential rebound in the UK housing market.
The UK housing market showed signs of renewed momentum in July, with Nationwide Building Society (NATIONWIDE) reporting a notable increase in house prices. The Nationwide House Price Index (NHPI) is a key indicator, with data stretching back to 1952, making it the longest unbroken run of house price data available.
On a monthly basis, UK house prices rose by 0.6% in July, significantly outperforming the market's expectation of a 0.5% increase. This marks a positive turnaround from the -0.8% decline recorded in the previous month.
Year-over-year, the growth in house prices also gained pace. The Nationwide House Price Index, which is compiled from Nationwide's mortgage lending data, indicated an annual increase of 2.4% in July. This figure surpassed the estimated 2.2% and was an acceleration from the 2.1% annual growth seen in June. Nationwide Building Society is the world's largest building society and a major provider of mortgages and savings in the UK.
These latest figures suggest a more resilient housing market than previously anticipated. While economic uncertainties persist, the stronger-than-expected July performance could signal a degree of renewed buyer confidence or limited supply in the UK property sector.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.