House prices rise again for August

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House prices rise again for August

Posted on September 05th 2007

The price of houses across the UK has risen again over the month of August, according to the latest property price survey from Halifax.

Average house prices in Britain now stand at just under £200,000 following a 0.4 per cent rise last month. This now brings the annual house price increase to 11.4 per cent.

Halifax attributed the reasons for the rise to a good economy, high levels of employment and a demand for housing.

However, Halifax were quick to point out that, despite the rise, this could be a sign that the housing market is slowing, as August is the third month in the last four where the average property price has increased by less than 0.5 per cent.

Chief economist Martin Ellis said: "While the market remains robust, this provides further evidence that house price inflation has slowed since the beginning of the year.

"The downward trend in house price growth is expected to continue over the remainder of 2007 as the five interest rate rises since last summer have an increasing impact on household spending and housing demand."

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