Halifax sees 2012 end with positive increases in House Prices

The December House Price Index from Halifax reports a positive end to 2012 with increases over the month and quarter.

Key details:

• Prices were up by 1.3% in December against that reported in November 2012
• In the final quarter (October to December) prices were actaully 0.6% higher than the previous quarter – the first increase in this measure since May 2012.
• Annually the average house price in the three months to December was down by -0.3%, against the same months in 2011.
• There was a pick up in activity. Home sales up slightly from 75,000 to 80,000.

Commenting, Martin Ellis, housing economist, said:

“There was evidence of a firming in the housing market in the final few months of 2012. Prices in the three months from October to December were 0.6% higher than in the preceding three months. This was the first increase in this measure of the underlying trend for seven months.

“Overall, last year saw an even mix of monthly rises and falls as prices lacked any real direction as both demand and supply pressures remained largely unchanged during 2012. On an annual basis, prices in the final quarter of 2012 were marginally lower than in the last three months of 2011.

“We expect continuing broad stability in house prices nationally in 2013 with prices likely to end the year at levels close to where they begin.”