Halifax House Price Index - December 2012

House prices in the three months from October to December were 0.6% higher than in the preceding three months according to the latest Halifax House Price Index.

Commenting, Martin Ellis, housing economist, said:
"There was evidence of a firming in the housing market in the final few months of 2012. Prices in the three months from October to December were 0.6% higher than in the preceding three months. This was the first increase in this measure of the underlying trend for seven months.

"Overall, last year saw an even mix of monthly rises and falls as prices lacked any real direction as both demand and supply pressures remained largely unchanged during 2012. On an annual basis, prices in the final quarter of 2012 were marginally lower than in the last three months of 2011.

"We expect continuing broad stability in house prices nationally in 2013 with prices likely to end the year at levels close to where they begin."

Key facts

• House prices in the final quarter of 2012 (October-December) were 0.6% higher than in the previous quarter (July-September). This was the first increase in this measure of the underlying trend since May 2012 following six consecutive falls.
• Prices in the three months to December were slightly lower (-0.3%) than in the last
  three months of 2011. This marked an improvement over the previous few months and was the smallest annual decline since May 2012 (-0.1%).
• House prices increased by 1.3% in December. Overall, there were six monthly rises and six decreases during 2012.

• Activity has picked up a little. Home sales have improved modestly in recent months, from 75,000 in July to 80,000 in November, according to the latest figures. Overall, sales in the three months to November were 2% higher than in the same period last year. (Source: HMRC, seasonally adjusted)

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