On Friday, British lender Halifax released its latest monthly update, showing that in September home prices in Britain fell by 4.7% year over year as the effects of higher mortgage rates weighed on demand.

It was an acceleration over the previous month’s 4.5% decline, marking the largest yearly decline in over 14 years, according to the data. The effect has been to reduce the price of a house in the UK by £14,000 ($17,100) compared to the record levels seen in August of 2022.

The report showed that the price for an average home in the UK now sits at a level last seen in the beginning of 2022, at $340,000.

Kim Kinnaird, director of Halifax Mortgages, said, “Activity levels continue to look subdued compared to recent years, with industry data showing lower levels of new instructions to sell homes and agreed sales.”

Kinnaird indicated that the primary factor driving the decline was the increase in borrowing costs, due to the effects of higher interest rates on the affordability of mortgages.

She continued, “Against this backdrop, homeowners inevitably become more realistic about their target selling price, reflecting what has increasingly become a buyer’s market.”

Soaring borrowing costs have been weighing on the housing market in Britain, as buyers have been dissuaded from jumping into the market due to the costs of mortgages. Zoopla, the real estate firm, forecast this month that UK home sales will fall to their lowest levels seen in over a decade, due specifically to soaring mortgage costs.