Wednesday 08 August 2012
The mix adjusted average purchase price for local market properties was £439,861 in the second quarter of 2012, 3.0% higher than the same quarter of the previous year.
Dr Andy Sloan, Economist commented:
"These figures point to a general but gentle softening of prices in the first half of this year but significantly and importantly sales volumes remain relatively robust.
This is second quarter with prices generally flat in real terms - nominal growth of 3.6% and 3.0% for the last two quarters equates to flat growth in prices after retail inflation is stripped out - generally unsurprising given the economy has experienced only marginal real rates of average earnings growth in the last twelve months.
Such rates themselves are no bad thing long term - over the last decade property has increased in value in real terms and price to earnings ratios have widened - a period of rates close to retail inflation would be positive for affordability."
