The Department for Communities & Local Government (DCLG) reported an 8% year on year rise in prices in August, much higher than the 2.6% and 3.1% reported by Halifax and Nationwide. The DCLG’s measure gives more weight to high-priced areas of London and the South East. It also lags the lenders’ measures, so it is likely to soften in the coming months.
Surveyors confidence has slipped again with 41% believing prices will fall in the next three months. However the sales to stock ratio remains stable, which may be a signal that the pace of future price falls may be relatively modest.
