London house price drop drives down UK average

Supply and Demand less foreign investors and prices beyond the reach of many UK buyers results in a realignment of prices. In FH I believe the average price has doubled over the last 5 years?

Supply and demand in the luxury market. Not the suburban market which the article states is still going up.

Agree with Hollow. Prices have actually gone up in the cheaper boroughs, which are in a completely different housing market than Kensington, Islington etc.

In recent Rightmove data which shows changes in asking prices by borough, Lewisham asking prices went up around 2% between Sept 2016 and Sept 2017. Hardly sign of a buoyant market but at least they are not decreasing. Of course the bigger question is what is happening to the prices these properties are actually selling at - not aware of whether someone has done a recent study on this.

Source - http://22123-presscdn.pagely.netdna-cdn.com/news/wp-content/uploads/2009/07/boroughs.jpg

I think the main reason we see changes in asking prices reported so often is the time delay in the release of the sold price data from the date an offer is accepted. The land registry index, based on sold prices, shows a 1.5% change from July 2016 - July 2017 and 1.3% from Sep 2016 - July 2017. The transactions reported for July would, on average, have had their offer accepted in May.

http://landregistry.data.gov.uk/app/ukhpi/explore

I bought a place ten years ago and would be unable to afford it now so a stagnant market with no rises for the next 5 to 10 years would be welcome and since I am living in my own property any rise iis kind of Monopoly money anyway

Supply and demand, means that prices in London get expensive so the burbs become more attractive so the competition increases as do prices,