Alexa
  • Directory of Taiwan

UK house prices up 1.2 pct in January

UK house prices up 1.2 pct in January

U.K. house prices rose 1.2 percent on the month in January, pushing them 8.6 percent higher than a year ago, a major mortgage lender said Friday.
The report from the Nationwide Building Society added to evidence that the housing market has been recovering, though at a slow pace, as Britain barely crawled out of recession in the fourth quarter.
Martin Gahbauer, the bank's chief economist, said this reversed the pattern at the start of recession when Britain's housing market collapsed faster than the economy as a whole.
Britain's recession officially ended in the fourth quarter as GDP rose by 0.1 percent after six quarters of decline, according to preliminary data released this week.
Although unemployment eased in November to 7.8 percent from 7.9 percent a month earlier, Gahbauer said other trends in the labor market would tend to hold back future gains in house prices.
"Over the course of 2009, U.K. average earnings growth has fallen to the lowest levels on record, as many employers have opted to spread their cost reduction measures over a wider segment of the workforce by freezing or reducing pay," he said.
"With pay inflation near zero or even negative, every additional increase in house prices worsens housing affordability, particularly since interest rates are very unlikely to fall any further. All else being equal, this limits the upside potential for the current recovery in house prices," he added.
___
http://www.nationwide.co.uk/hpi/historical/Jan_2010.pdf


Updated : 2021-06-21 18:13 GMT+08:00