🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

UK house price fall quickens, outlook grim -RICS

Published 02/09/2009, 07:01 PM
Updated 02/09/2009, 07:08 PM

LONDON, Feb 10 (Reuters) - British house prices fell at a faster pace in January than in December and the outlook for prices turned gloomier as the number of completed home sales fell, a survey showed on Tuesday.

The Royal Institution of Chartered Surveyors' seasonally adjusted price balance fell to -76 in January from -74 in December, suggesting the housing market remains in a very depressed state.

And surveyors expect house prices to keep falling. The balance of those reporting they expected prices to fall against those forecasting a rise slipped to -88, its lowest since RICS started polling for this information in 1998.

Completed sales per surveyor also fell to a survey low of 9.9 from 10.0 and the average number of homes for sale on surveyors' books fell to 75.4 from 77.9 as owners opted to rent out their homes rather than sell.

RICS said that took stock levels in January down 10.4 percent from a year ago, the first annual decline since October 2007.

Still, there were tentative signs that the Bank of England's aggressive interest rate cuts coupled with heavy house price falls may be helping to revive interest among potential homebuyers.

RICS said enquiries from new buyers rose for the third month running and sentiment about the outlook for sales turned positive in January. "The latest cut in interest rates may improve confidence for those on the margins, encouraging buyers looking for more attractive finance deals," said RICS spokesman Jeremy Leaf.

(Editing by Ron Askew)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.