Halifax, one of the largest mortgage Institutions in the United Kingdom, stated that house prices in the United Kingdom fell in December for the first time in nine months, despite the Real Estate market experiencing its best year since the pandemic in 2024.
Halifax stated on Tuesday that the average house price in December dropped by 0.2% from a record high to £297,166 (approximately $372,630). House prices increased by 3.3% for the whole year.
As house prices fell last month, economic growth in the United Kingdom was stumbling; although mortgage rates have declined from their peak in 2023, they still remain high. The Labour government's fiscal stimulus budget in October threatened the speed of interest rate cuts by the Bank of England, causing borrowing costs to rise.