Friday, October 02, 2009
House price inflation back to zero, housing equity withdrawal
Posted by David Smith at 10:30 AM
Category: Thoughts and responses

The Nationwide building society said house prices rose by 0.9% in September and are now back to September 2008 levels. The average house price is 161,816. On a seasonally adjusted basis, prices are up by 7.2% on their February low point, and by 4.1% on December last year, suggesting they are on course for a 2009 rise. More details here. Prices are still 14% below their October 2007 peak.

Meanwhile the Bank of England reported a net housing injection (negative housing equity withdrawal) of just under 7 billion in the second quarter, 2.9% of post-tax income, just below the 7 billion-plus figures for the two previous quarters. Details here.