House prices in London are continuing to adjust downward. What is a homeowner in the capital or even outside of it to think? How does this eventually impact homeowners as well as home buyers? Are the falling house prices a natural correction and a good thing overall or is it a warning of gloom and doom for the housing market?

According to new research from Zoopla, London house prices are falling on average by £71 a day. That information could have some in a panic. However, across Britain the research reveals that house values have increased by £11 a day in the first half of 2019. The average increase in the first part of the year equaled £2,046.

In some areas of the UK, the average house price growth was much higher such as in the West Midlands with an average of £6,695 and in the South East of England with an average half year increase of £6,463. These increases are thought to be due to those purchasing outside of London and the higher prices in areas with attractive communities and within an easy commute distance.

In London, the half year average decline amounted to £13,035 which is the aforementioned £71 a day decline.

Zoopla offered their analysis of the data in a wider context to allow those with concerns, both home buyers and homeowners, a better view of the housing market. When looking at the data from the Land Registry over the last five years, the average house price in London has increased at nearly 19% from around £383,000 to £457,000.

There are always ups and downs in the housing market and current downs in London are being blamed on several factors which include higher property taxes for purchases at levels of most of the homes in the area and due to a need for a natural correction of the out of reach purchase prices that grew during high levels of investment in property during the recession.

Brexit is likely paying a part in the market as well.

Yet, there are incentives such as competitive lending and low interest rate mortgages available to home buyers not only in the London area but throughout the UK.

Some experts are cautious about the market while others are optimistic. Those that are optimistic put the viewpoint on the fact that consumers, namely home buyers, are choosing to bypass the warnings of Brexit and see the current opportunities in the housing market as they relate to their personal goals and future. For those hoping to become homeowners, the housing and lending markets might be as good as it needs to be even with Brexit over the horizon.