UK Housing Prices Decline Further


UK Housing Prices Decline Further

Housing prices in the UK are on an ongoing decline, confirmed figures published by financial service provider Halifax. According to the release, the average cost of a home dropped 1.4% during the last month, and 3.7% quarter-on-quarter compared with 2010, to stand at GB£ 160,395.

The report blamed the decline of real income rates, high debt levels and non-availability of credit for the diminished consumer confidence that was holding people back from purchasing property. The ongoing economic uncertainty is still putting a strain on demand for houses.

Property values are now only 4% above the low point of April 2009, but a whole 20% below what they were before the credit crunch in August 2007.

Nevertheless, Halifax expects the rates to fall at a slower pace in the upcoming months. Martin Ellis, housing economist for Halifax group, said: “Signs of a modest tightening in housing market conditions, a relatively low burden of servicing mortgage debt and an increase in the number of people in employment are all likely to be providing support for house prices, curbing the pace of decline”.

Experts expect housing prices to fall an additional 5-7% before fiscal cuts will pick up rates in early 2012. What kinds of houses enter the market in this time period as well as the availability of mortgages will also play a crucial role in getting the housing market back on its feet.

Latest News

Groundbreaking operation experienced by Vicky the orangutan
Sleep positions say a lot about your relationship
Pet cat gives meningitis to kid
Bar set higher for foreign doctors to work in England
Nose can be a pathfinder
NPD: Xbox One and PS4 sales have surpassed 5 million and 7 million units respect
Nissan expands "No Charge to Charge" promotion, offers new EZ-Charge cards to Le
Dropbox acquires two startups --- Loom and Hackpad
Alex Springer CEO Mathias Dopfner strongly criticizes Google in open letter
NWS issues flood warnings around Maine rivers
Microsoft launches All-in-One Media Keyboard
Bigwig tech companies and wireless carriers back anti-theft tools agreement