The average Barnet house price in the year to January was £613,205 – a 1.6% decrease on December reports Clara Margotin, Data Reporter

Estate agent signs with the word 'Sold' most prominent — Across the UK, average house prices in January increased slightly on the month before, and have accelerated by 4.9% over the past year – (Credit – Radar)

House prices in Barnet dropped in January, new figures show.

Figures from the Office for National Statistics show the average Barnet house price in the year to January was £613,205 – a 1.6% decrease on December.

The picture was different to that across London, where prices increased by 2.3%.

The drop in Barnet does not reverse the longer-term trend in the area, which has seen property prices in the area grow by 0.3% over the last year.

It means the area ranked 25th among London’s 33 local authorities for annual growth, with the average price in Barnet rising by £1,800 over the past year.

The highest annual growth in London was in Lewisham, where property prices increased on average by 8.2%.

At the other end of the scale, properties in Westminster lost 21.8% of their value.

Across the UK, average house prices in January increased slightly on the month before, and have accelerated by 4.9% over the past year.

Separate figures from the ONS show the Consumer Prices Index (CPI) inflation fell to 2.8% in February, down from 3% in January.

The drop was stronger than analysts had predicted, with 2.9% initially forecasted for February.

David Hollingworth, associate director at L&C Mortgages, said the slowing in inflation “can have positive implications for mortgage rates if it helps to boost the market’s outlook for interest rate movements”.

Although he said this “should undoubtedly be seen as good news”, he warned the rate of inflation is likely to accelerate again in the next few months.

Mark Eaton, chief operating officer at lender April Mortgages, welcomed the drop in the inflation rate, but said it will not immediately increase buyers’ ability to save for a house deposit.

And Tom Bill, head of UK residential research at Knight Frank, cautioned: “House prices should continue to rise faster in relatively more affordable parts of the country.”

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