DAVY VIEW

This morning’s Rightmove data show a sharp 1.9% decline in UK asking prices on residential property to £364,895. This is the sharpest monthly decline in August since 2018. Annual inflation moved into negative territory (at -0.1%). The Rightmove data add to the evidence from Royal Institution of Chartered Surveyors (RICS) and Zoopla, suggesting that UK house prices will see further falls in the second half of 2023. The current consensus forecast is that house prices will fall 5% through 2023.