(Alliance News) - UK house prices remained stable in January, according to new data on Tuesday.
According to Halifax's house price index, house prices registered no monthly change in January. Market consensus, according to FXStreet, had been expecting a 0.4% rise. This follows a 1.3% monthly fall in December and a 2.4% drop in November.
The typical UK property now costs GBP281,684, little changed from GBP281,713.
On an annual basis, prices were 1.9% higher - the lowest level of growth in the last three years. In December, prices saw annual growth of 2.1%.
Compared to the peak back in August, house prices are 4.2% lower.
"We expected that the squeeze on household incomes from the rising cost of living and higher interest rates would lead to a slower housing market, particularly compared to the rapid growth of recent years. As we move through 2023, that trend is likely to continue as higher borrowing costs lead to reduced demand," said Kim Kinnaird, Halifax Mortgages director.
"For those looking to get on or up the housing ladder, confidence may improve beyond the near-term. Lower house prices and the potential for interest rates to peak below the level being anticipated last year should lead to an improvement in home buying affordability over time."
By Elizabeth Winter, Alliance News senior markets reporter
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