House prices in September grew at their lowest yearly growth rate since August 2013, according to new Halifax data. Prices were also 0.1% lower than the previous three months, implying the market has stalled.
Unsurprisingly, shares are weak in companies on the stock market linked to the world of property.
Housebuilders, builders’ merchants and sofa sellers all fall into negative territory.
|Company||Share price movement 7 Oct 2016|
|Barratt Developments (BDEV)||-4.9%|
|Bovis Homes (BVS)||-4.7%|
|DFS Furniture (DFS)||-4.6%|
|St Modwen (SMP)||-4.5%|
|Taylor Wimpey (TW.)||-4.2%|
|Travis Perkins (TPK)||-4.2%|
|Galliford Try (GFRD)||-3.4%|
|McCarthy Stone (MCS)||-3.2%|
Halifax housing economist Martin Ellis says: ‘The housing market has followed a steady downward trend over the past six months with clear evidence of both a softening in activity level and an easing in house place inflation.
‘The reduction in annual house price growth from a peak of 10% in March to 5.8% six months later remains in line with our forecast at the end of 2015.’