— Nationwide: UK September House Prices Up 0.1% On Month
— Nationwide: Price of a UK Home 0.3% down from Year Ago
LONDON (MNI) – UK house prices rose 0.1% in September compared to
August, the latest survey from Nationwide shows, with prices 0.3% lower
than they were a year ago. The 3-month on 3-month change was flat,
compared to August’s rise of 0.1%.
The stability of monthly house prices in September contrasts with
the findings of the August Nationwide survey, which showed a monthly
fall of 0.6% and an annual fall of 0.4%.
The small September rise comes alongside continuing evidence of a
recovery in mortgage approvals and is a stronger result than most
analysts had predicted. Analysts’ median forecast was for prices to
fall 0.2% month on month and 0.4% on the year.
The Nationwide house prices survey showed the average price of a
home rose from August to September – to stg166,256 compared to
stg165,914 in August.
Mortgage approvals have been increasing. The British Banker’s
Association announced last week that loans for house purchases rose to
35,226, well above July’s figure of 33,734, confounding forecasts of a
fall to 33,417. The Bank of England approvals data are out at 0830 GMT
Thursday.
Nationwide’s Chief Economist Robert Gardner commented on the
figures: “Sluggish demand for homes on the back of weak labour market
conditions, combined with only a gradual rise in the supply of available
properties, has helped to keep property prices fairly stable since the
summer of 2010.”
He added: “We expect this trend to be maintained over the remainder
of 2011, although downside risks have increased as UK and global growth
prospects have weakened.”
–London newsroom: 4420 7862 7492; email: sanjukta.moorthy@ntkn.com
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