British house prices dip in November: survey

9th December 2010, Comments 0 comments

British house prices fell 0.1 percent in November from a month earlier, a survey from major home-loans provider Halifax showed on Thursday.

"Higher numbers of properties for sale, combined with reduced demand, have caused the recent decrease in prices," Halifax housing economist Martin Ellis said in a statement.

"There are, however, some tentative signs that homeowners are becoming more reluctant to put their properties on the market which, if continued, will help to relieve the current downward pressure on prices.

"Interest rates are likely to remain very low for an extended period, which will support the improved mortgage affordability position for homeowners. As a result, we do not expect to see a significant fall in house prices," he added.

The Bank of England was widely expected to keep its main lending rate at a record low level of 0.50 percent at a meeting on Thursday.

The average value of a home in Britain stood at 164,708 pounds (195,940 euros, 260,452 dollars) in November, while prices were down 0.7 percent compared with 12 months earlier, Halifax added.

© 2010 AFP

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