No momentum in the UK property market, says Nationwide
1st Nov 2012
People looking to offload their properties for sale are facing a market that has no momentum, despite a recent rise in prices that they can achieve, a new report has discovered.
According to a study carried out by Nationwide, the price of houses throughout the month of October, calculated from the mortgages that it provided throughout, were 0.6 per cent higher than the month before.
This has offset the fall that was seen in September, when there was a monthly drop of 0.4 per cent.
However, in spite of monthly rises, the building society said that this still saw home values sitting at around 0.9 per cent lower than they were during October 2011.
The cost of an average property in the UK now stands, according to Nationwide, at £164,153 in October, but this could grow in November, as a greater number of people look to capitalise on the chance to move into their house before Christmas.
Robert Gardner, Nationwide's chief economist, said that some of the main problems stemmed from the fact that inflation was accelerating at a far faster rate than wages, with many people still being out of work.
"This helps to explain why housing market activity has remained subdued, with the number of mortgage approvals still running at little more than half their long-run average."
Posted by Staff Writer: Ewan Robertson
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