The average house price is now £153,862 which represents an annual decrease of 16.5 per cent. In London the average price has fallen by 15.6 per cent in the last year to now stand at £298,563.
It is the eighteenth month in a row where the annual rate of change has fallen, in contrast to 21 months of uninterrupted increases in the average annual rate of change between December 2005 and August 2007.
The North West was the region with the most significant monthly price fall with a movement of -4.1 per cent.
The most up-to-date figures available show that during December 2008 the number of completed house sales fell by 55 per cent to 36,341 from 81,300 in December 2007. In London 3,957 house sales were completed in December 2008 compared with 9,543 in December 2007, representing a fall of 59 per cent.
Simon Rubinsohn, RICS chief economist said: "The 2% drop in house prices in February according to the Land Registry brings the peak to trough decline in prices to almost 17%. This is broadly consistent with what is being suggested by most other house prices indices. Lower prices and the cheap cost of money has begun to fuel an increase in buyer interest as reflected in the RICS 'new buyer enquiries' series which has risen for four consecutive months.
"This turnaround in the appetite of potential house purchasers is now becoming more visible in actual transaction data and confirms that the increased number of people registering with estate agents are doing more than just window shopping. Land Registry numbers show sales edged up in December from the November low and the more timely mortgage approvals figures indicate this more positive trend has further to run over the coming months although activity will still remain at relatively depressed levels."
