Housebuilder shares drop as high interest rates lead to summer housing market slowdown

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The housing market has faced challenges in recent months due to rising interest rates

and asking prices for homes recorded their biggest August drop in at least five years.

According to property website Rightmove, £364,895 was the average price for a newly listed home in the five weeks to 12 August – around 1.9 percent lower than the previous month., triggered by rising interest rates.and rising interest rates, trading conditions for the housing market have worsened during the summer of this year,” Crest Nicholson said on Monday.

“While pricing has remained resilient in a market with limited supply and few distressed sellers, the economic uncertainty is deterring prospective home movers.”

 

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