UK House Price Inflation Slows More Than Expected; Weakest Since 2012: Halifax

UK house price inflation slowed more-than-expected in November to its lowest level since December 2012, figures the Lloyds Banking Group subsidiary Halifax showed on Friday.

The house price index rose 0.3 percent year-on-year in the three months to November, after a 1.5 percent increase in the three months to October. Economists had expected 1 percent growth.

"While this is the lowest rate of growth in six years, it remains within our forecast range of 0 percent to 3 percent for 2018," Halifax Managing Director Russell Galley said.

"High employment, wage growth and historically low mortgage rates continue to make home ownership more affordable for many, though the need to raise a significant deposit still acts as something of a restraint on the market," Galley said.

"This is largely offset by relatively limited supply of new and existing properties for sale, which continues to sustain house prices nationally."

The average house price was GBP 224,578 in November versus GBP 227,694 in October.

Compared to the previous month, prices fell 1.4 percent from October, when prices grew 0.7 percent. Economists had forecast a 0.2 percent gain for November.

The latest fall was the biggest since a 3.1 percent slump in April.