The Halifax House Price Index for March shows:
Annual change: -2.9%
Quarterly change: -0.6%
Monthly change: 0.1%
Average price: £162,912
Commenting, Martin Ellis, housing economist, said: "House prices continue to fall at a modest pace as measured by the quarterly rate of change, the best measure of the underlying trend in price movements.
“Prices in the first quarter of 2011 were 0.6% lower than in the fourth quarter of 2010. There was a 0.1% rise in prices in March and prices were a similar amount above those at the end of 2010.
"The overall decrease in prices in the first quarter of 2011 compared with the previous quarter was a little lower than the quarterly falls recorded in the third and fourth quarters of 2010. The recent increase in employment, particularly those in full-time jobs, may have been an important factor supporting the market.
"Our forecast remains for a 2% decrease in house prices in 2011 as a whole. Uncertainty over the general economic outlook and individual financial circumstances are likely to constrain housing demand, resulting in some modest downward pressure on prices."
Commenting on the Index, Capital Economics said: “Last month’s marginal increase in house prices is unlikely to set a trend for the rest of this year. With lenders further restricting the availability of credit and the fiscal squeeze intensifying today, there are convincing reasons why house prices should fall further.”
