UK House Prices Surprise Fall in June

House prices experienced a bigger monthly fall than analysts had expected in June, knocking £1,100 off the average property value, according to the Halifax.

However, despite this drop – the fourth monthly price fall since last December – the value of the average house rose by £16,000 in the year to June, their biggest annual leap in seven years.

Prices in the three months to June, which are widely considered a better indicator of house price growth than the lender’s monthly figures, were 2.3% higher than in the three months to March and 8.8% up on the same three months in 2013.

This brings the average house price to £183,462 compared to £167,668 in June 2013 and makes the typical property value five times the national average earnings of a full-time male employee.

“Housing demand continues to be supported by an economic recovery that is gathering pace, with employment levels growing and rising consumer confidence, although real earnings growth remains sluggish,” said Stephen Noakes, mortgages director at the Halifax.

via The Guardian

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza