07-12-2007
House price index shows further decline
News by Adfero for Simply Business - independent providers of business insurance, business finance, landlord insurance, buy-to-let mortgages & commercial mortgages.
A new study has shown house price inflation has declined to its lowest level so far in 2007.
Data released by the Financial Times as part of its house price index shows that house price growth, compared with analogous periods during the previous year, fell from 10.2 per cent in August to 9.1 per cent in November.
In October, house prices were 9.4 per cent higher than at the same time in 2006.
"With continued weakening in consumer confidence and the further negative commentary on market prospects in 2008, we would expect this downward trend to continue," said Dr Peter Williams, the chairman of consultancy firm Acadametrics, the company behind the compilation of the data.
However, the data from this report does conflict with many other market surveys by showing a more gentle slowdown, according to the publication.
In related news, the Organisation for Economic Co-operation and Development has warned that the UK's housing market is increasingly exposed to the risk of a slump.