Asking prices for UK homes fell by 1% in September from August, according to Rightmove, with London the only part of the country to register a rise for the month.

Over the year, prices fell 3.3%, with the number of properties on the market up by 0.5% despite government moves to eliminate stamp duty on purchases of homes below £175,000. Rightmove said it had seen a rise of only 0.5% in the number of properties belonging to the £125,000 to £175,000 band, the group for which the tax break was offered.

Miles Shipside, commercial director of Rightmove, said it was unlikely that either activity or prices would pick up while the mortgage markets remained blocked.

The number of houses for sale per agent is at a record low for the survey. House prices in London registered a 4% rise in September after a 5.3% drop in August.

Financial Times