UK House Prices Flat in january 2008

There do seem to be signs of the economy slowing here in the UK and this having an impact on all of us UK homeowners. The latest reports show that UK house prices were flat in January. Copared to the previous quarter UK house prices showed a 1% fall. These figures come from the latest Halifax House Price Index.

These signs of a weakening market for homes in the UK are of course a mixed blessing. It certainly means that Houses may start to become more affordable for first time buyers who have found it difficult to get on the first rung of the housing ladder. So far however there are not many signs that the weakening market is having this effect.

Mortgage approvals in the last quarter of 2007 fell 35 per cent compaared to the same period in 2006. The peak rate i house price rises was 11.4 per cent rate in the three months to August.

The Halifax forecast for 2008 is that house prices will stay flat and they are not predicting a slump.

The UK recently had its 62nd successive quarter of growth in the fourth quarter of 2007. This is the longest period of unbroken growth on record so its far too early for any real doom and gloom