UK House Prices Increase for the First Time in Three Months

  • Average home price climbed larger-than-forecast 0.4% in May
  • Analysts see little prospect of resurgence in property market

With house prices just off record levels, the plight facing “generation rent” is set to feature at a general election campaign now underway. 

Photographer: Jason Alden/Bloomberg
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UK house prices rose for the first time in three months, a sign that the market is stabilizing in the face of high borrowing costs, one of the biggest mortgage lenders said.

The average cost of a home rose 0.4% in May after an drop of the same size the month before, Nationwide Building Society said Friday. That was bigger than the 0.2% gain economists had expected and the strongest reading since February, the last time prices rose.