ARE HOUSE PRICES REALLY ON THE INCREASE?

Apparently they are, if we are to believe the Halifax Price Index. According to this index, prices rose for the seventh consecutive month in January by 0.6%, leaving house prices 3.6% higher compared to a year earlier. However, it would be foolish of us to think that our home today is worth more than it was twelve months ago, irrespective of these figures, because such a small percentage increase is almost impossible to quantify. The good news in my eyes is that to me this at least illustrates that they have stopped falling and what is required now is a period of stability, not growth, in order to assist those first time buyers trying to get a foothold into the property market. In my opinion a period of twelve months stability is required in order to facilitate this, together with sensible mortgage lending to people who fall into this bracket.