Mortgage News
House price data shows ninth monthly rise
Confidence in the housing market has been strengthened, following the latest Nationwide house price index, which
reveals that prices have risen in November for the ninth consecutive month.
The average house price rose to £162,764 from £162,038 in October, an increase of 0.5%. Prices have now risen by an average of 2.7% over the last 12 months and are now at a similar
level to early 2006. They are rising at a more moderate pace than in the spring and summer months when they experienced a strong bounce from lows recorded in early 2009.
In London, house prices increased by 10% in November from £274,077 in October to
£302,632, according to the Property Index from estate agency Haart.
Martin Gahbauer, chief economist at Nationwide, said the outlook for the housing market has improved because the labour market has shown encouraging signs of growth.
He commented: “The better than expected performance of the labour market has probably contributed to the surprise rebound in house prices this year.”
Mark Graves, managing director of Linear Financial Services, added that he expected prices to continue to rise in 2010 because confidence and demand in the market were strong.
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