UK August Halifax house prices -1.9% vs -0.3% m/m expected | Forexlive

• Prior -0.3%; revised to -0.4%
• House prices -4.6% y/y
• Prior -2.4%; revised to -2.5%

The monthly drop in UK house prices is the steepest since last November, with the average home now costing £279,569, down by around £5,000 since July. Halifax notes that:

“It’s fair to say that house prices have proven more resilient than expected so far this year, despite higher interest rates weighing on buyer demand. However, there is always a lag-effect where rate increases are concerned, and we may now be seeing a greater impact from higher mortgage costs flowing through to house prices. Increased volatility month-to-month is also to be expected when activity levels are lower, though overall the pace of decline remains in line with our outlook for the year as a whole.”