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House prices stabilised in January on falling supply
HOUSE prices stabilised in January, the Land Registry said yesterday, as the market in London and the south east continued to rise much more strongly than the rest of England and Wales.
Prices nationwide rose 1.1 per cent in the month, but remain down one per cent compared with January 2011. London’s prices were up 2.5 per cent in January and 2.9 per cent on the year.
Every other region saw a decline in price compared with January 2011 – a trend analysts say is set to continue.
“In the long-term, house price rises like January’s are not sustainable,” said Tracy Kellett from buying agent BDI Home Finders. “They are being propped up by an extreme lack of stock and low interest rates.”