Friday, December 10, 2010
A stand-off for house prices
Posted by David Smith at 09:30 AM
Category: Thoughts and responses

House prices appaer to be ending the year flat, with the Halifax reporting just a 0.1% fall in prices in November. The latest LSL-Acadametrics house price index showed a rise of 0.2%, with an 12-month gain of 5.9%. Prices have, however, done little over the past seven months. Transactions, meanwhile, weakened further.

According to Dr Peter Williams, chairman of Academetrics: "Overall, 2010 has seen a flat market but one with some significant regional and local variations of which buyers and sellers need to be aware. Going forward, we expect to see a similar pattern in 2011.

“On average, over the last fifteen years, the number of homes sold in November each year has decreased by 2.7% from October levels in the same years. Our estimates suggest that November 2010 transactions will show a greater than average fall of 4.6% from the previous month, with 58,500 units being sold. This level of sales comprises 63% of the long term fifteen year average of 93,500 homes November sales. For the second month in succession this year, the number of homes sold during the month is lower than the equivalent period in 2009.”