UK house prices extend losses in August: Halifax

[LONDON] British house prices fell for a second consecutive month in August, taking the annual growth rate to its lowest in more than a year, figures from mortgage lender Halifax showed on Wednesday.

House prices dropped 0.2 per cent in August after a 1.1 per cent decline in July, causing the annual rate of growth to slow to 6.9 per cent from 8.4 per cent in July, according to the figures from Halifax, part of Lloyds Banking Group.

Economists polled by Reuters had forecast a 0.4 per cent monthly fall and a 7 per cent annual rise.

"The slowdown in the rate of house price growth is consistent with the forecast that we made at the end of 2015," Halifax economist Martin Ellis said.

"Increasing difficulties in purchasing a home as house prices continued to increase more quickly than earnings were expected to constrain demand, curbing house price growth," Mr Ellis added.

REUTERS