(1888PressRelease)
August 21, 2007 - The Halifax House Price Index shows that July was the fourth consecutive month of growth below one per cent and the bank said that this is a clear sign that the market is beginning to slow.
"House prices increased by 0.7 per cent in July," said chief economist at Halifax Martin Ellis.
"This is the fourth consecutive month that house prices have risen by less than one per cent, confirming that house price inflation is slowing."
Mr Ellis went on to make an even more dire prediction for house prices in the future, predicting that the price slump would continue.
"We expect the downward trend in house price growth to continue as the five interest rate rises since last summer have an increasing impact on household spending and housing demand," he added.
Figures for growth between May and July show an increase of just 1.3 per cent, signalling the smallest three-monthly increase seen in the market since August 2006.
These statistics follow earlier reports from Nationwide and Hometrack which showed that house price growth plummeted to 0.1 per cent in July.
Evidence from fast property purchase company National Homebuyers supports the Halifax figures, operations manager David Harber says: "The number of enquiries we are receiving from homeowners needing a quick sale has doubled in the last month.
"Homeowners are increasingly concerned about how much their property will be worth by the end of this year.
"For some, a quick sale of their property now is the only solution. We are purchasing hundreds of properties from people who are feeling the pinch financially and are therefore looking to sell."
National Homebuyers are the UK's leading fast property purchase firm, guaranteeing an offer to buy any property in the UK for homeowners who want a quick sale.
Harber concludes: "The volumes of properties on the market and lack of buyers is bringing prices down."
