House prices 'recover'

17 January 2006
House prices are recovering from their recent lows, according to figures from the Office of the Deputy Prime Minister (ODPM).

In November, house prices rose 0.6 per cent after a 0.5 per cent decrease in October, the data shows.

These figures revealed that property values were 2.5 per cent higher in November than they had been the year before, with the average property price rising to £186,431.

"The climb in annual house price inflation to 2.5 per cent in November from a nine-year low of 1.8 per cent in October reported by the ODPM adds to the recent evidence that house prices have firmed to a limited degree recently amid stronger housing market activity and increased buyer interest," said Howard Archer, economist at consultancy firm Global Insight.

Property in Northern Ireland had the largest inflation as house price growth increased from 10.7 per cent in October to 17 per cent in November.

Welsh property prices decreased from 8.8 per cent to 6.5 per cent during the same period.

Within England, the biggest inflation rates were in Yorkshire and the Humber (6.2 per cent). Rates were 6.1 per cent in the north-west and 4.8 per cent in the north-east.

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