"… the challenging economic backdrop suggests that a significant acceleration in [home] prices or activity is unlikely in the near term"
- Robert Gardner, Nationwide's Chief Economist
U.K. home prices edged lower for a fourth time in five months, Nationwide data showed last week. Price of a typical U.K. house fell by 0.2 per cent to 164,134 pounds from March, when it declined 1.0 per cent.
"Much of the recent softness in measures of housing market activity and house prices is likely to relate to the expiry of the stamp duty holiday in late March," said Robert Gardner, Nationwide's Chief Economist.
"This provided a temporary boost to house prices in early 2012 as buyers brought forward purchases that would otherwise have taken place later in the year."
"This effect should fade in the months ahead, and measures such as the Government's NewBuy scheme should provide some support to buyer demand. However, the challenging economic backdrop suggests that a significant acceleration in prices or activity is unlikely in the near term."
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