In the last month, the average UK property asking prices has dipped by 0.2 per cent as part of a downward trend that began in June. According to a report by Rightmove, this is the first drop for this time of year since 2010.

The effects of Brexit

The property website said the housing market remains “fundamentally sound” but the uncertainty of Brexit is causing harm. Despite this, Brexit has recently been labelled a possible reasoning behind increased housing market activity. This is because some buyers and sellers could be trying to move home before the 31st October deadline.

According to the Bank of England, mortgage approvals reached a two-year high in July. Rightmove’s figures, however, suggest that Brexit’s bump may have reached an end as the departure date looms near. The number of sales agreed dropped by 5.5. per cent in all regions this September compared to the same period last year.

Rightmove reported a “pre-Brexit buying spree” a month earlier, with agreed sales jumping by 6.1 per cent. However, it did warn that monthly data can be unstable. When measuring over the entire year, the number of sales agreed is down by 3.4 per cent.

According to Rightmove director and housing market analyst, Miles Shipside, there are signs indicating that even those who have been shrugging off any uncertainty are now becoming more hesitant.

“The autumn bounce normally kicks off at the same time as kids go back to school, but this year it’s a late starter at best, and if uncertainty persists then the autumn term could be missed all together and its activities be delayed until the new year.

“Those who are planning to buy or trade up and can keep their nerve while others hesitate may find that they are in a stronger negotiating position to get a favourable deal.”

The most recent official housing market data demonstrates the average selling prices rising by only 0.9 per cent in the year to June, driven by a specifically marked drop of 2.7 per cent in London. According to the Office for National statistics, other regions across the UK also recorded strong annual house price growth.