–Down 0.4% M/M; Down 0.9% 3M Y/Y; Underlying Trend Also Weaker
LONDON (MNI) – UK house prices were down on both the month and the
year in August, according to the latest House Price Index from the
Halifax.
The data continued the falls seen last month in the Halifax series.
In July prices had fallen 0.6% on the month and 0.6% on the year.
House prices in the three months to August were down 0.3%
from the previous three month period, compared with a fall of 0.1% in
the three months to July.
The UK’s two main house price indices appeared to diverge last
month, with the Nationwide showing the largest monthly rise since 2010 –
up 1.3% from July.
Commenting on the data, Martin Ellis, housing economist, said:
“Nationally, house prices continue to tread water, as measured by
the underlying trend. Prices in the three months to August were
fractionally lower (-0.3%) compared with the previous three months.
House prices fell by 0.4% in August with the declines in the past two
months largely offsetting the gains in the preceding two months.
“Overall, there has been little change in house prices so far this
year with the UK average price in August at a very similar level to the
end of 2011. A gradual upward trend in spending power, aided by lower
inflation, should help to support housing demand in the coming months.
Nonetheless, house prices are likely to remain flat over the remainder
of 2012 and into next year.”
–London newsroom: 44207 862 7492; ukeditorial@marketnews.com
[TOPICS: MABDS$,M$B$$$]
