Halifax house price survey shows small rise

Despite the fact there is doom and gloom around the UK property sector the Halifax house price survey for August showed an increase of 0.2% across the UK at a time when many were expecting prices to fall. However, it has to be said that the 0.2% increase does not compare well against the 0.7% increase in July but it does show that UK house prices are "holding their own" at the moment.

In direct comparison to some of the doom and gloom scenarios being mentioned in the UK financial arena, Halifax believes that this trend of relatively stable house prices should last until the end of 2010. Whether 2011 starts off badly for the UK property sector remains to be seen but it has to be said there is pressure from various areas of the economy which would indicate a softening of prices at best.

When you consider that UK house prices fell by 23% during the recession it's easy to forget that prices have rebounded by 9% since the bottom. Whether, as some people believe, much of this 9% increase was due to an imbalance in the supply and demand ratio is another question which prompts many different views and opinions.