Monthly average figures taken from all the major house price indices clearly show that the market bottomed between April and May this year, according to Assetz.
The data, in fact, shows that prices are growing again, according to the company, with May figures showing very strong annualised growth of 17.3% per annum. The three month rolling average data shows 4% growth currently and the 6 month moving average reflects only a 5% fall, indicating the start of a reversal in the recent downward trend in house prices.
The five major house price indices still show an average of 12.2% falls for the twelve months prior to May 2009 but this hides the sudden reversal in house prices seen in the last few months. The bottom of the growth curve can clearly be seen in February and March this year, with the rate of annual decline slowing in recent months. The average house price in May 2009, taken from the average house price provided by five major UK indices, was £185,276, an increase of £1,978 compared to the previous month’s average value (£183,298). The average house price is almost the same as in January 2009 (£185,408), showing house prices have barely fallen since the start of the year.