House prices down 0.6%

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by Gill Montia

UK house prices fell 0.6% during July, according to Halifax, but on a quarter-on-quarter basis were unchanged.

Last month’s fall followed a rise of 1% in June and left the average house price at £161,094.

The annual rate of decline currently stands at 0.6%, there having been four monthly rises and three falls since the start of the year.

However, Halifax figures show a marginal increase in prices for 2012 so far, with the value of the typical home having risen 0.8% since December 2011.

The lender provides further consolation to homeowners with a reminder that a year ago, prices were falling at an annual rate of 2.6% (July 2011).

Halifax housing economist, Martin Ellis, comments: “At a national level, house prices have been very stable over the past year or so.

“This can largely be explained by the static nature of supply and demand conditions during this period.”

Looking forward, Mr Ellis expects little change in prices over the remainder of 2012, so long as the UK economy doesn’t worsen substantially.