Property prices ‘resilient in 2011’Tuesday, 03 January 2012 11:26
The cost of the average UK home ended the year one per cent higher than the previous year at around £163,822, new figures show.
Nationwide said that although London properties experienced the strongest price growth, there was less regional variation compared with previous years.
“The one per cent rise in house prices recorded over the past 12 months could hardly be described as a strong performance,” chief economist Robert Gardner said.
“But against a backdrop of anaemic economic growth and a deteriorating labour market, UK house prices were surprisingly resilient in 2011.”
But Mr Ellis added that resilience was less apparent in other areas of housing market activity last year, for example, the number of mortgage approvals remained low, at just over half the long term average.
“As things stand, the housing market in 2012 looks likely to be characterised by low levels of activity once again, with prices moving sideways or modestly lower over the course of the year,” he said.