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

Lloyds HPI: UK House Prices Edge Up 0.2% in June

UK house prices increased by 0.2% in June, following a 0.2% decrease in May, according to the latest Lloyds house price index. The average property price now stands at £299,330, up from £298,812 in May.

Annual house price growth rose slightly to 0.6% in June, compared to 0.5% in May. The index, formerly known as the Halifax house price index, highlights regional differences across the UK property market.

Northern Ireland recorded the strongest annual house price growth, with average prices up 7.4% over the past year to £229,000. Scotland followed with 3.9% annual growth and an average price of £223,277. In Wales, annual property price growth strengthened to 0.9%, bringing the typical home value to £231,142.

In England, stronger price growth was concentrated in the northern regions. The North East saw prices rise 2.8% year-on-year to £181,133, while the North West recorded 2.4% annual growth, with the average property now costing £248,218. By contrast, southern markets continued to see price declines. The South East led with a 2.0% year-on-year fall to £381,654, and London saw average values drop by 1.1% to £534,831.

For first-time buyers, annual price growth increased to 0.8% in June from 0.3% in May, with the average first-time buyer property now costing £240,433.

The report also notes that the number of new mortgage approvals dropped in May. Mortgage rates have eased from recent highs, but affordability remains stretched for many buyers. The outlook for house prices, according to the report, will depend on factors such as inflation and household confidence.