Halifax expects house prices to fall 8% in 2023

A forecast from Halifax suggests that house prices will fall by 8% in 2023, with the decline driven by higher mortgage costs and broader economic pressures. The lender said the market is rebalancing, having seen some of the steepest ever rises in prices in recent years, with the pandemic fuelling a boom. Halifax’s Andrew Asaam said: “Following such rapid house price growth, and the growing economic headwinds, a slowdown was almost inevitable.” He added that with the increasing cost of living and rising interest rates, “there’s understandably more caution among both buyers and sellers,” with this prompting demand to “soften.” Halifax data shows that the average UK house price increased by almost 23% between the start of the pandemic in March 2020 and August 2022, hitting a record high of £293,992. The average UK house price is currently £285,579. 

I (16/12/2022)   The Guardian (16/12/2022)