Date issued: 29 Nov 2007
HOUSE PRICES FALL BY 0.8% IN NOVEMBER
- House prices fell by 0.8% in November, bringing the annual rate of increase down to 6.9%
- Sentiment in the market has weakened, but can be volatile
- Uncertainties remain, but underlying fundamentals continue to be supportive
- Introduction of final phase of HIPs may reduce available housing supply in the short term
| Headlines |
November 2007 |
October 2007 |
| Monthly index * Q1 '93 = 100 |
369.0 |
371.9 |
| Monthly change* |
-0.8% |
1.1% |
| Annual change |
6.9% |
9.7% |
| Average price |
£184,099 |
£186,044 |
* seasonally adjusted
Commenting on the figures Fionnuala Earley, Nationwide's Chief Economist, said:
“House prices fell by 0.8% in November, reversing October’s surprisingly strong performance. This brings annual house price growth down to 6.9%. This is back in line with the softening trend we have seen in the second half of the year and is consistent with our forecast of house price growth of 5-8% in 2007. The 0.8% monthly fall is the first since February 2006 and the largest monthly fall since June 1995. However, monthly data can be volatile and the sharp fall this month is partly a reflection of the strength recorded last month and in November last year. A better picture of the underlying trend is captured in the three-monthly growth rate. This too fell back into line with its softening trend in November, returning to 1.5% from the 1.8% recorded in October. The price of a typical house in the UK is now £184,099, almost £12,000 more than this time last year."
For further information please see this month's full report (PDF - 53KB)
