UK house prices fall in October

UK house prices fell 0.7 per cent in October, Halifax said today.

On an annual basis, property values fell 1.7 per cent. In the three months to October, prices were 1.2 per cent lower than in the previous quarter, the fifth successive decline, Halifax said.

Martin Ellis, housing economist at the lender, today said: “The weak economic background has been a key factor dampening housing demand this year.

“Recent encouraging developments relating to the level of overall economic activity and conditions in the labour market, however, may help to support demand and underpin house prices around current levels over the coming months.”

Meanwhile, the industry-wide number of approved mortgages increased for the third consecutive month in September, according to figures from HMRC. Approvals rose four per cent to 50,000 in September.