The 0.6% m/m fall in the Halifax measure of house prices in December was the biggest monthly fall since August 2023, chimes with the 0.4% m/m fall in the Nationwide release last week and confirms that momentum in house price growth waned towards the end of last year. But lower interest rates, continued tight supply of new homes and the recent relaxation in mortgage lending rules should help house prices to rise by an above-consensus 3.5% in the year to Q4 2026.
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