The Halifax House Price Index in the United Kingdom went up 1.3 percent year-on-year in the three months to December of 2018, following a 0.3 percent rise in the previous period which was the lowest annual increase in house prices since December 2012. It compares with market expectations of a 0.4 percent gain. 'The annual figure remained very firmly in the range of 0-3 percent as forecasted by Halifax at the start of the year. In 2019, continued stability in house prices is expected with between 2 percent and 4 percent price inflation. This is slightly stronger than 2018, but still fairly subdued by modern comparison. However, this expectation will clearly be dependent on the Brexit outcome, with risks to both sides of our forecast. The shortage of homes for sale and continuing low levels of housebuilding both constrain the supply of houses, and in turn support high prices, which will continue to inhibit demand in 2019', Russell Galley, Managing Director said. Housing Index in the United Kingdom averaged 372.70 Index Points from 1983 until 2018, reaching an all time high of 743.70 Index Points in July of 2018 and a record low of 96.10 Index Points in January of 1983.
Housing Index in the United Kingdom is expected to be 762.00 Index Points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Housing Index in the United Kingdom to stand at 785.00 in 12 months time. In the long-term, the United Kingdom House Price Index is projected to trend around 795.00 Index Points in 2020, according to our econometric models.