–Nationwide: UK Mar House Prices Up 0.5% m/m; +0.1% y/y
LONDON (MNI) – UK house prices rose 0.5% in March from February and
were 0.1% higher than March 2010, according to the latest Nationwide
survey.
This follows a rise of 0.7% on the month in February when prices
were 0.1% lower than the same month of 2010.
The monthly house price index stands now stands at 330.9, up from
February’s reading of 329.3.
In the three months through March house prices were 0.6% higher,
compared with down 0.1% in the three months to February and the 0.7%
fall in the three months through January.
Commenting on the report, Nationwide Chief Economist Robert
Gardner, said that
Commenting on the figures, Robert Gardner, Nationwide’s Chief
Economist, said the latest rise was “unlikely to mark the beginning of a
strong upturn in prices”.
“The economy entered a soft patch at the back end of 2010, and
there have been few signs of a strong bounce-back. The jobs market
remains challenging and Nationwide’s Consumer Confidence Index suggests
that sentiment has fallen to an all-time low in recent months”.
“While demand is likely to remain fairly soft, a rapid increase in
the supply of properties also appears unlikely. Low interest rates and a
stabilisation in labour market conditions have prevented a rise in
forced selling, and the subdued market outlook is deterring many sellers
from entering the market”.
“With the economic recovery expected to remain sluggish, the most
likely outcome is that the property market will follow suit, with low
transaction levels and prices moving sideways or modestly lower through
2011.”
–London newsroom: 4420 7862 7491; email: ukeditorial@marketnews.com
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