This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/go/rss/int/news/-/news/business-11226502
The article has changed 3 times. There is an RSS feed of changes available.
Version 0 | Version 1 |
---|---|
Halifax says house prices have stabilised | Halifax says house prices have stabilised |
(40 minutes later) | |
House prices have stabilised, according to the latest survey from the Halifax mortgage lender. | |
It says the cost of the average UK home rose by just 0.2% in August to £167,953. | |
That figure was only slightly lower than at the end of 2009 and is still 16% below the peak of August 2007. | |
Despite the small increase in prices during last month the annual rate of increase declined further, from 4.9% in July to 4.6% in August. | |
The Nationwide said last week that prices were now only 3.9% higher than a year ago. | The Nationwide said last week that prices were now only 3.9% higher than a year ago. |
"Prices are now at a very similar level to that at the end of last year," said the Halifax's chief housing economist Martin Ellis. | "Prices are now at a very similar level to that at the end of last year," said the Halifax's chief housing economist Martin Ellis. |
"Activity has also been largely static since the start of the year. | "Activity has also been largely static since the start of the year. |
"These developments suggest that the market is broadly stable, with house price inflation having cooled since last year, when supply shortages helped to push up prices," he explained. | "These developments suggest that the market is broadly stable, with house price inflation having cooled since last year, when supply shortages helped to push up prices," he explained. |
Low activity | Low activity |
Meanwhile, housebuilder Barratt has reported improved earnings, but a market still stuck in first gear, in its full-year financial results. | Meanwhile, housebuilder Barratt has reported improved earnings, but a market still stuck in first gear, in its full-year financial results. |
The homebuilder showed a full-year loss of £33m, down from £144m the previous year. | The homebuilder showed a full-year loss of £33m, down from £144m the previous year. |
Despite the steadily improving conditions, "by historic standards the market remained difficult and activity levels continued to be extremely low," the company said. | Despite the steadily improving conditions, "by historic standards the market remained difficult and activity levels continued to be extremely low," the company said. |
The company blamed the continuing lack of mortgage finance for constraining demand, saying the housebuilding industry had responded by opening fewer new sites. | The company blamed the continuing lack of mortgage finance for constraining demand, saying the housebuilding industry had responded by opening fewer new sites. |
"Whilst the improved balance between supply and demand has stabilised prices, it has done little to address the nation's fundamental housing shortage," it added. | "Whilst the improved balance between supply and demand has stabilised prices, it has done little to address the nation's fundamental housing shortage," it added. |