–Nationwide: UK June House Prices +0.1% m/m; +8.7% y/y
–Nationwide: UK June y/y House Price Rise Lowest Since Jan
LONDON (MNI) – UK house price inflation declined in June, falling
to its lowest level since January, with prices rising just 0.1% on the
month.
The Nationwide survey showed June house prices up 8.7% on the year,
compared to up 9.8% on the year in May, the lowest outturn since
January’s 8.6%. Nationwide’s chief economist predicted further easing in
house price inflation this year.
UK house prices in the Nationwide series fell just over 19% from
peak to trough. They then saw their first monthly rise in March 2009,
and have risen in 13 of the fifteen months since then.
There is growing evidence, however, that the rally in house prices
is running out of steam, with prices up just 3.0% in the first half of
this year.
“The month of June presented a picture of broad stability for the
housing market,” Martin Gahbauer, Nationwide’s chief economist, said.
The three monthly rise in house prices through June edged up to
1.8% from 1.7% on the same basis in May, but the yearly rates are now
being impacted by the relatively rapid price rises seen a year ago.
“Barring a significant pick-up in house prices over the next few
months, the annual rate of inflation should continue to drift lower, in
light of the very strong price increases recorded during the summer of
2009,” Gahbauer said.
–London newsroom: 4420 7862 7491; email: drobinson@marketnews.com
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