Annual price rises recorded in final quarter

Posted: 21 Jan 2008 10:48:54 GMT

Annual house price inflation was recorded as 5.2 per cent in the final quarter of 2007.

Annual house price inflation was recorded as 5.2 per cent in the final quarter of 2007.

Halifax has published its regional house price index for quarter four of last year, revealing that prices increased in all regions.

The 5.2 per cent rise translates as an increase of £9,821, taking the average property price to £197,071.

According to the index, Scotland saw the largest growth, with prices increasing by 13.1 per cent, making it the only region to witness double-digit growth.

Overall, house price inflation was below the long-term average but Halifax is not concerned about the future prospects for the housing market.

"Sound economic fundamentals and lower interest rates will support house prices in 2008," said Halifax chief economist Martin Ellis.

"The UK economy is expected to deliver its 65th successive quarter of GDP growth during the year, extending the longest running period of unbroken growth on record.

"The MPC is likely to follow up last month's cut by reducing the bank rate at least twice in 2008," he continued.

© Houseladder Ltd