The December House Price Index from the Land Registry shows a monthly price change of -0.4% and an annual increase of 6.7%. This month's average house price is £184,469. This month's data provides evidence of a downward trend in house prices. Although the annual growth rate remains positive, this month's price fall is a clear indication of a weakening market.
This month is the first time since the minor slowdown in 2005 that average prices for England and Wales have experienced negative monthly change.
This month's 0.6% rise in London prices is greater than the average for the country as a whole. London's relatively high annual change of 14.3% is being sustained due to very high monthly increases at the start of the previous twelve months. Towards the end of 2006 and at the start of 2007, London experienced very high price growth. However, the monthly price changes for the last three months show growth rates falling to far more modest levels. London's average house price for December 2007 stands at £354,625 whereas the average price for England and Wales is £184,469
All regions in England and Wales experienced increases in their average price over
the last 12 months. The region with the highest annual price change is London with an increase of 14.3%. The region with the lowest annual price rise is the East
Midlands, with an increase of 0.5%. The North East experienced the highest monthly rise, with an increase of 2.2%. The East Midlands experienced the largest negative price movement this month with a change of -3.3%.
Greater London experienced the highest annual price change with an increase of
14.3%. Twelve other counties and unitary authorities also exhibited annual price increases of 10% or more. No county or unitary authority experienced negative annual price change this month. The City of Nottingham experienced the smallest annual price change, with a movement of 1%.
