House prices doubled over last decade

The latest property figures from the Halifax have revealed that UK house prices doubled during the 2000s.

This survey, which reviews house price performance over the past decade, shows that the noughties was a significant period for the UK housing market.

Despite a fall of more than 20% between 2007 and 2009, Halifax reveals that house prices increased by more in inflation adjusted terms than in any other decade over the last 50 years.

Overall, between quarter 4 1999 and quarter 4 2009, house prices increased by 105%. The national average price increased by 145% between the start of the 2000s and the peak in 2007 quarter 3. This was followed by a 21% decline over the next seven quarters, but prices subsequently increased again by 6% during the final two quarters of the decade. All this meant that house prices ended the 2000s at a level similar to that in 2005 quarter 3.

Martin Ellis, housing economist at Halifax, said:

“The noughties was a significant decade for house prices. Overall, prices increased considerably despite the marked decline towards the end of the decade. This contrasted sharply with the 1990s when prices rose only modestly in monetary terms and actually fell once retail price inflation is taken into account.”

“The majority of towns that experienced the strongest price growth began the decade with lower than average property prices, which provided the platform for bigger price gains. Seaside towns fared particularly well as the attraction of having a home on the coast helped to boost demand.”