House prices have fallen for a third consecutive quarter, marking the first time this has happened since May 2013.
House prices in the last three months were 0.1% lower than in the previous three months, according to the latest House Price Index by Halifax.
This was the third successive quarterly fall for UK house prices; the first time this has happened since November 2012. However, prices were 2.6% higher than in the same period of 2016.
Martin Ellis, Halifax housing economist, said: “House prices have flattened over the past three months. Overall, prices in the three months to June were marginally lower than in the preceding three months. The annual rate of growth has fallen, to 2.6%; the lowest rate since May 2013.
“Although employment levels continue to rise, household finances face increasing pressure as consumer prices grow faster than wages. This, combined the new stamp duty on buy to let and second homes in 2016, appears to have weakened housing demand in recent months.
“A continued low mortgage rate environment, combined with an ongoing acute shortage of properties for sale should help continue to underpin house prices over the coming months.”