Prices rise in October

Property prices continued to rise in October, according to the latest figures from Assetz.

The firm has published its "definitive" House Price Watch report, which looks at all of the UK's house price indices.

It shows that properties in the UK have increased in value by 9.7 per cent in the year leading to October.

This signifies a slight downturn on the 9.9 per cent growth figure recorded in September but is a 0.8 per cent rise on the figure from October 2006.

It means that the average UK property price in October was £214,795, up on the £212,988 seen in the previous month.

Stuart Law, chief executive of Assetz, said that there may be more good news for mortgage borrowers in the coming weeks.

"Despite inflation temporarily now exceeding the government's two per cent target, I would expect to see interest rates fall next month and further in 2008, as the Bank's Monetary Policy Committee (MPC) is forced to take action in light of a slightly slowing economy," he commented.

"As a result, I believe we will see interest rates fall to 5.25 per cent by December next year," added Mr Law.

Related Articles