Peter Rollings commenting on the latest figures from Halifax's House Price Index
Wed 07 Sep 2011
"The swing in these house price figures owes more to the low volume of mortgages Halifax currently handles each month than to a sudden change of direction in the market. The less volatile quarterly figures actually point to an underlying trend of sluggish growth across the country in recent months, with house prices bolstered by the low level of stock on the market at present. However, we wont see a sustained, substantial increase in both house prices and sales activity outside of London until affordable mortgages are made available for first-time buyers without the requirement for prohibitively large deposits. In the capital, incredibly strong interest in prime property from cash buyers and those with substantial deposits has been the driving force behind robust recent activity. Were now seeing nearly 17 buyers register for every property on the market an increase from 12 buyers per property a year ago. For those selling homes at present in central London, its an incredibly attractive market."