NI House Prices Still Above UK Average

News reported earlier this week that house prices in Northern Ireland have again fallen has been underlined by national figures, just released.

While it has emerged that the price of a typical house in the UK fell by 1.8% in February, the average in Northern Ireland remains above that of the UK as a whole.

The annual rate of change in the UK is now -17.6%, according to the latest figures released by the Nationwide.

The average house price nationally has now fallen to £147,746, compared with £179,358 at the same point last year.

Commenting on the figures Fionnuala Early, Nationwide's Chief Economist, said: "Sharp cuts in interest rates have helped affordability, but have not yet affected housing market confidence to boost the levels of new transaction activity or slow the pace of house price falls.

"Early signs of increased interest in housing, as reported by the pick-up in new buyer enquiries, have yet to filter into sales, but do suggest that falling prices and interest rates are raising curiosity now, which could flow through quickly once confidence returns."

During the week, a sharp fall in NI prices during the final quarter of 2008 was reported.

According to the latest University of Ulster house price index local prices dropped by more than 28% over the full course of the year.

Produced in partnership with Bank of Ireland and the Northern Ireland Housing Executive, the report confirmed the continuing low volume of house sales, with 704 transactions recorded in October, November and December.

However, this figure was slightly up on the previous quarter's report of 670.

It showed the overall average price of a house in the final quarter of 2008 was £168,185 - a drop of 16.6% on the third quarter.

However, this is still around £20,000 more than the average UK price.

See: NI House Price Falls Hit '80s Low

(BMcC/JM)