In the UK, housing prices increased at the fastest pace in five months in August, said Wednesday the Nationwide Building Society.
Housing prices rose 5.6 percent year-on-year in August, after rising 5.2 percent in July. It was the fastest growth over the past five months. Economists had forecast that annual growth will slow to 4.8 percent.
On a monthly basis, housing prices unexpectedly rose by 0.6 percent, slightly faster than the growth of 0.5 percent a month ago. Prices as expected to decline by 0.3 percent.
New buyer inquiries were softened through the imposition of additional duties on the secondary market in April and the uncertainty around the referendum of the EU, said Robert Gardner, chief economist at Nationwide.
“What will happen on the demand side will be determined, to a large extent, the prospects of the labor market and confidence among potential buyers,” says Gardner.