House price falls slow

The average house price fell for the sixth month in a row in July, according to the latest Halifax house price index.

House prices fell by 1.7 per cent last month, which represented a slowdown from the falls seen in May and June, which were 2.5 per cent and 1.9 per cent respectively.

However, July was the fourth consecutive month that property values have fallen by more than 1.5 per cent, taking the average price of a house in the UK to £177,351, which is 8.8 per cent lower than this time last year.

Although this is down 11 per cent from the peak of £199,600 in August last year, it is 34 per cent higher than the UK average price five years ago of £132,371.

The Monetary Policy Committee (MPC) also announced today that the Bank of England will hold interest rates at five per cent, spurning pressure to make a cut as it pursued its drive to halt rising inflation.

House Prices News posted on 07/08/2008 15:25:04