UK house prices fall in November amid Brexit, election uncertainty - RICS

UK house prices fell in November amid uncertainty about Brexit and the general election, according to the latest survey from the Royal Institution of Chartered Surveyors.

The RICS house price balance dropped to -12 from -5 in October, hitting its lowest level since April. Analysts had expected it to remain unchanged.

Meanwhile, the new buyer enquiries balance rose to -9 in November from -15 the month before.

RICS chief economist Simon Rubinsohn said: "Confidence is critical to a well-functioning housing market and whatever happens in the general election today, it is important that the new government provides reassurance both over the stewardship of the economy and the ongoing challenges around Brexit which continues to highlighted in a disproportionate number of remarks made by respondents to the RICS survey.

"Significantly despite the inevitable near-term concerns, the feedback regarding the medium-term view of the market remains surprisingly sanguine with the twelve month sales expectations indicator at its best level since the early part of 2017."

Capital Economics said: "November's survey data support our view that the housing market will struggle to gain any upward momentum next year. After all, with house prices high and mortgage interest rates unable to fall much further, we expect housing demand to remain restrained next year."