Nationwide survey shows house prices stabilising

28 January 2005
According to the latest Nationwide house price survey, property values rose 0.4 per cent in January.

This rise means that prices have risen about 0.25 per cent a month for the last six months.

Alex Bannister, Nationwide's group economist, commented: "This [stability] contrasts with the previous six months when prices rose by an average of 1.7 per cent per month."

This latest rise means that the average house price now stands at £151,757.

The stabilising house prices, and recent interest rates freezes, have meant that the property market is increasingly favouring buyers.

Mr Bannister commented: “Since last summer the focus of homeowner and would-be homeowner concern appears to have shifted from 'how high interest rates will rise' to the future direction of house prices.

"Consequently, it is increasingly a buyers' market with prospective buyers staying on the sideline until the outlook becomes more certain. However, with prices having been broadly stable for six months and the market nearing the end of the usual seasonal lull, there are indications that sentiment may be about to turn more positive."

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