FX.co ★ London’s house prices fall at fastest pace in 8 years in April

House prices in London declined at the fastest pace over the past 8 years in April on the back of falling demand for houses in central areas of the city.

The average house in London fell by 1.5% to £636,777 ($813,000) from April 2016, Rightmove Plc said. That was the steepest annual decline since May 2009. This month, house prices in London decreased by 2%.

Since January, London’s housing market has showed the weakest growth compared to other country’s regions following the UK's vote to leave the EU and the introduction of a higher tax rate for investors. The elite houses’ prices are the hardest hit, while house prices in suburbs grew by 1.7%

On the whole, the UK’s house prices edged up by 1.1% in April. Meanwhile, the average monthly growth over the last 7 years stood at 1.6%. Annually, prices rose by 2.2%, marking the slowest pace of growth since April 2013.

According to analysts, buyers are now very cautious as the accelerated inflation is cutting real consumer income. In addition, the official launch of the Brexit process makes the UK’s economic prospects vague.