House prices fall for fourth year running

Thursday 20 February 2014

Average house prices dropped 1% in 2013 according to official figures out today – making last year the fourth consecutive year in which prices have fallen.

Two-bedroom flats and houses saw the biggest drops over the 12 months leading up to December.

Over the last five years, only two-bedroom flats have actually increased in value – everything else has dropped.

The figures also recorded that properties designated for first-time buyers sold at their lowest average prices for years. First-time buyer flats sold for an average of just under £250,000 while first-time buyer houses sold for around £420,000.

The House Price Index records turnover, or the number of transactions that take place each quarter. The report for the end of December showed a 3% drop in overall transactions, although it says that business picked up in the last six months of the year. 

The Statistics Unit’s figures showed that:

One-bedroom flats cost an average of £210,000 (up £5,000 on 2012).

Two-bedroom flats cost an average of £332,000 (down £10,000 on 2012).

Two-bedroom houses cost an average of £375,000 (down £16,000 on 2012).

Three-bedroom houses cost an average of £484,000 (down £3,000 on 2012).

Four-bedroom houses cost an average of £674,000 (up £3,000 on 2012).