Housing price growth powers on

The Office of the Deputy Prime Minister (ODPM) survey, which illustrates growth during December, showed annual house price inflation at 8.3 per cent.

Meanwhile, the quarterly Land Registry report, which logs all completions, showed an increase of 12.6 per cent.

Halifax’s monthly survey put house prices up by 2.2 per cent through January, while the Nationwide said there was a monthly change of 0.7 per cent.

The CML released figures showing repossessions at their lowest rate since 1963, though it warned there could be a moderate increase if interest rates continue to rise.

Bernard Clarke, communications manager at the CML, said: “Last year saw 7,630 repossessions, although we expect that to rise to around 8,500 this year. We are predicting there will be around 11,000 in 2005, though this is still very low compared to 1991 when there were 70,000.”

Commenting on the figures, Ray Boulger, senior technical manager at Charcol, said: “With so many different figures available it is best to look at all of them, but not to rely on any one of them. The figures all display strong growth, but even if house price inflation were to drop to 4 per cent it would still represent relatively strong growth.”