Halifax report confirms house price fall

Halifax, the UK’s biggest mortgage lender, says house prices saw an annual fall of 0.9% in April, and dropped by 1.3% compared with March, according to data released today. The news, which follows rival Nationwide’s report of a 1% fall in year-on-year prices, is expected to add to the economic uncertainty already being felt on the high street.

 Halifax, the UK’s biggest mortgage lender, says house prices saw an annual fall of 0.9% in April, and dropped by 1.3% compared with March, according to data released today. The news, which follows rival Nationwide’s report of a 1% fall in year-on-year prices, is expected to add to the economic uncertainty already being felt on the high street.

The HBOS-owned bank says a squeeze on spending power and a decline in “real” earnings over the past year were among the factors behind the first year-on-year fall in prices since February 1996. Another was the rapid rise in house prices in the last few years.

Halifax says the number of mortgages approved to finance house purchases in the first quarter of 2008 was 41% lower than a year earlier. Earlier this year, the Bank of England said that new mortgage approvals had fallen to their lowest level since records began in 1990.

Halifax, which is reviewing its advertising held by Delaney Lund Knox Warren, is among the lenders who have pushed up interest rates and tightened their lending criteria in order to lessen their exposure to bad debt.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here