House price statistics called into question

The recent announcement by the Land Registry House Price index of a 0.2% drop in house prices for the month calls into question statistics received from elsewhere. For instance, the Nationwide recorded a 2.5% drop in house prices for the same period.

Stuart Law, Cheif Executive of property investment firm Assetz, says that the Land Registry figures represent a truer reflection of the current housing market. He states "Nationwide figures are skewed, based only on its own mortgage approval data, and as a result, significantly impacted by their recent increase in mortgage rate, while the Land Registry data provides a more reliable overview.

He goes on to state that he believes it is profiteering by the banks which has led to buyers trying to chip away at asking prices in an attempt to counteract the increased cost of mortgage borrowing.

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