UK House Prices Fell 16.6 Pct In 2008
UK house prices fell to the lowest level in four years the Nationwide Building Society said today.
Prices fell 1.3% in December following a 2.5% decline in the previous month.
On an annual basis, UK home prices declined 16.6%, which is the biggest drop since the series began in 1991.
Figures due tomorrow is expected to show banks granted the fewest mortgages in December in at least a decade.
The data continue to highlight the dire state of the U.K. housing market, where falling house prices and interest rate fail to lure buyers back to the market. The conditions are likely to remain weak throughout the foreseeable future as credit conditions remain far from normal.
The Bank of England therefore may adopt a zero-interest rate policy over the near-term in order to avoid a deep and prolonged recession.
Prices fell 1.3% in December following a 2.5% decline in the previous month.
On an annual basis, UK home prices declined 16.6%, which is the biggest drop since the series began in 1991.
Figures due tomorrow is expected to show banks granted the fewest mortgages in December in at least a decade.
The data continue to highlight the dire state of the U.K. housing market, where falling house prices and interest rate fail to lure buyers back to the market. The conditions are likely to remain weak throughout the foreseeable future as credit conditions remain far from normal.
The Bank of England therefore may adopt a zero-interest rate policy over the near-term in order to avoid a deep and prolonged recession.
