House prices rise 0.1%
Posted on 21st June 2011
House prices rose by 0.1% to £160,519, according to the Halifax.
On an annual basis, prices declined by 4.2% and on a quarterly basis by 1.2%.
Martin Ellis, housing economist for the Halifax, says: “House prices continue to drift modestly downwards as measured by the underlying trend. Prices in the three months to May were 1.2% lower than in the previous three months; unchanged from April. There was a 0.1% rise in prices in May following April’s 1.4% decline.
“Low earnings growth, higher taxes and relatively high inflation are all putting pressure on household finances. Confidence is also weak as a result of uncertainty about the economic and employment outlook. These factors are probably constraining housing demand and applying some downward pressure on prices.
Ellis expects a moderate improvement in the economy during the remainder of the year.