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House price inflation drops to 8%

Source PA News

Updated on 11 March 2008

The annual rate of house price growth fell to a 16-month low during January as the property market continued to slow, Government figures have shown.

Annual house price inflation dropped to just 8% during the year to the end of January, compared with a rate of 8.4% reported in December, according to Communities and Local Government.

But the figures contained some rare good news for homeowners, with the average cost of a home jumping by 1.7% during January to stand at £221,758.

The price rise was driven by a 4.3% increase in the average value of a detached property, while the cost of flats and bungalows rose by 1.3% and 1.1% respectively.

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