Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

House Price Growth Slows in July as Buyer Power Drops

UK house price inflation slowed to 0.9% in the year to July, down from 1.3% in June, according to Mortgage Solutions. Buyer power also weakened, with buying power reported as 9% lower in July compared to January.

The North West recorded above-average house price growth of 3.1% to £210,100, while Northern Ireland led the table with 5.4% growth. Scotland saw a 2.8% increase to £176,400, and the North East followed with a 2.5% rise to £151,800. In contrast, the South and East of England experienced decreasing house prices, with London seeing a 1% decline to £525,400.

Among English cities, Liverpool and Newcastle showed the strongest growth. Liverpool’s house prices rose by 4.2% to £171,700, and Newcastle saw a 3% increase to £165,200.

Mortgage Solutions reported that average mortgage rates rose from below 4% in January to close to 5% in July. Zoopla stated that buyers would need an average additional deposit of £18,200 to purchase the same home while keeping monthly repayments unchanged. The extra deposit required averaged £35,500 in London and £10,200 in the North East. Regional differences in house price inflation mean buyers in Southern England need to find substantially more cash upfront than those in lower-priced regions.

First-time buyers have been staying longer with parents to save for deposits, with property prices and deposit costs highlighted as chief concerns.

Buyer activity was slower over the summer, with sales 6% lower year-on-year. However, the gap to last year’s levels is beginning to narrow as demand picks up. Meanwhile, housing stock was 5% higher than a year ago, as more sellers brought properties to market.

These trends are relevant for letting agents and inventory clerks monitoring regional market shifts, deposit requirements, and changing buyer behaviour across the UK property sector.