House prices up in short to mid term, down over year

Friday, 27 May 2011 02:46

Would-be buyers of British properties could be forgiven for feeling confused by the latest house price figures from Nationwide.

The May report from the organisation shows a conflicting picture, with a 0.3 per cent monthly increase in prices.

Over the previous year, however, valuations have fallen by 1.2 per cent – while the quarterly change is a positive 0.6 per cent shift.

Robert Gardner, chief economist at Nationwide, notes the further points for comparison that indicate lacklustre performance.

"House prices increased by 0.3 per cent in May, only just offsetting the 0.2 per cent fall recorded the previous month," he points out.

Simon Rubinsohn, chief economist at the Royal Institution of Chartered Surveyors, adds that the residential property market is now "largely stagnant".

He suggests that this is a combination of a number of factors, including subdued lending approvals by the banks and low consumer confidence in the wider economy.

Follow on Twitter: @news_myfinances

Comments Bubble Comments

blog comments powered by Disqus

Twitter: My Finances

Join the conversation at #news_myfinances

Newsletter sign up


In addition to the weekly newsletter, which areas of finance would you like to hear from us about:

Tick this box if you would like us to send you promotions from carefully selected third parties.

By signing-up you agree to the terms of use and privacy policy.

sign-up button

Get the latest information on: