House prices fell by 0.2% in June according to the Halifax House Price Index, marking a £476 decrease in the average house price, which now stands at £288,455.
Over the past year, prices have risen by 1.6%, with a modest increase of 0.4% since the beginning of 2024.
Regional variations were notable, with the North West experiencing the strongest growth in England at 3.8%, while prices in Eastern England saw a decline of 0.9%.
Commenting on the figures, Hargreaves Lansdown’s head of personal finance Sarah Coles said: “The property market is likely to be near the top of the government’s agenda in the coming weeks - and not just the removal van at Number 10.
“However, it isn’t going to make much of a difference in the short-term. House prices and sales have been tepid for most of 2024 so far, and they don’t look likely to warm up any time soon.
“The market is suffering from a dearth of demand, as higher mortgage rates and sky-high house prices have priced so many buyers out of purchases.”
Coles suggested that lower mortgage rates “may hold the key to renewed buyer enthusiasm”.