The housing market appears to have taken a turn for the worse over the last month. House prices have now fallen on the Nationwide, Halifax, Hometrack, RICS and Rightmove measures. Indeed, on the Halifax measure they have fallen by a total of 2.4% in the last three months. What’s more, the recent weakening in the activity indicators suggests that further falls in house prices are likely. We now think that house prices will fall by 5% this year and by up to 10% in 2009. A weaker housing market will contribute to what is shaping up to be a couple of weak years for the UK economy.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services