Annual house price growth continued to moderate at the start of 2015

January House Price Index

The pace of annual house price growth continued to soften at the start of 2015, slowing from 7.2% in December to 6.8% in January. This marks the fifth consecutive month in which annual growth has moderated, despite house prices increasing by 0.3% month on month in January. After taking account of seasonal factors, UK house prices are currently 2.4% above their pre-crisis peak.

Robert Gardner, Nationwide's Chief Economist, commented “The further moderation in the pace of price growth is unsurprising, given the slowdown in housing market activity in recent months. The number of mortgages approved for house purchase has been around 20% below the level prevailing at the start of 2014 and surveyors continue to report subdued levels of new buyer enquiries.”

Headlines Jan 2015 Dec 2014
Monthly Index* 380.7 379.4
Monthly Change* 0.3% 0.2%
Annual Change 6.8% 7.2%
Average Price (not seasonally adjusted) £188,446 £188,559
*Seasonally adjusted figure (note that monthly % changes are revised when seasonal adjustment factors are re-estimated)

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