Press Release 2nd July 2004

 

FT House Price Index June 2004

 

The FT House Price Index, calculated by Acadametrics, rose by 1.2% in June to an annual rate of 18.1%.

 

The monthly rate of increase in the FT House Price Index, over the first six months of 2004, has averaged 1%. This contrasts with an average of nearly 2% during the last six months of 2003, confirming the underlying easing of monthly house price inflation first noted in our January release. Even so, the annual rate rose again although only marginally - in June, reflecting the relative weakness in the market in the Spring last year. We expect the annual rate to fall later this summer, reflecting the strong monthly house price rises during the equivalent months last year.

 

We expect the Land Registry second quarter results, to be published in August, to show an increase in the annual growth rate from 14.1% in the first quarter to around 17 % in the second quarter of 2004.

 

We estimate the FT House Price Index, on a seasonally adjusted basis, as follows:

 

House Price

Index

Monthly Change %

Annual Change %

June 2004

177,887

170.6

1.2

18.1

May 2004

175,809

168.6

0.8

17.9

April 2004

174.421

167.3

1.0

17.2

March 2004

172,739

165.7

1.2

16.0

February 2004

170,730

163.7

1.1

14.5

January 2004

168,934

162.0

1.0

13.2

 

 

The stability in the FT House Price Index monthly results contrasts with the monthly variations shown by the lender indices, including ODPM which reported a 0.1% increase in March followed by a 4.5% increase in April.

Also see www.ft.com/houseprices

www.acadametrics.co.uk