House price figures are all over the place at the moment. The latest from Nationwide show there was a 0.1% increase in June while May’s figures vary with some showing a small increase and others a small decrease.

The average property in the UK now costs approximately £170,000.

The Nationwide price index, one of the more reliable sets of figures, shows that prices have risen by 3% since January but the annual increase has fallen back to 8.7%, with prices rising more slowly than they did this time last year.

Analysts believe the slow growth is probably due to supply and demand with an increase in the number of properties for sale making it easier to find a bargain.The increase in houses for sale has, in turn, been seen as a result of the coalition governments scrapping of the Home information packs (Hips), making it cheaper for homeowners to test the market.

The level of demand in the market had remained quite stable, which adds weight to the supply side explanation for the house price growth weakening.

Analysts have stated that they expect the annual rate of house price inflation to keep falling over the coming months as a result of the very strong house price increases seen in the summer of 2009.

However, in some good news, it is also thought that the top rate of capital gains tax, which has recently been increased to 28%, will not have a major effect on the housing market.There are very few predictions of what will happen in the housing market over the coming months, reflecting a great uncertainty. The fallout from the Budget will certainly have a major role to play, with uncertainty surrounding impending public sector cuts and higher taxes, and of course there is still the ever-present threat of interest rate rises in the mix.

As ever, the averaged figures only tell part of the story. The house price rise is easing off for most of the market but the top end of the market is still growing strongly, especially in the sought after locations in London and the South West.The average cost of a home is continuing to fall in Northern Ireland, with prices dropping by 5.7% during the second quarter, while growth was slowest in the East Midlands at 1.2%.

From all this murk and uncertainty it is difficult to draw any firm conclusions. To look on the bright side, although the rate of growth is dropping off, house prices are still rising. This is good for homeowners. On the other hand, the increasing availability of houses on the market is also good for prospective buyers. Let us hope that the picture stays this bright.

Wow. Government figures released this week show that house price inflation has pushed into double figures as prices were 10.1% higher in April than a year ago. This marks the highest figure since October 2007 when the crisis was just starting to bite. 

The latest figures show that UK house prices rose by another 0.4% in April with the cost of the average
UK house now standing at £207,516. The price rise was also consistent across the UK with only
Northern Ireland missing out on a yearly price rise in the year to April. 

The price rising is great news for sellers in the market but other figures show a more difficult position for buyers. 

The Council of Mortgage Lenders (CML) has released figures that show mortgage lending this year has been subdued with the number of loans granted to home buyers falling by 9% in April. 

This still represents growth in comparison with a year ago and will have been slightly effected by the Easter holidays. Analysts see the figure as a modest success but a success nonetheless. The repeated concern is that the low mortgage figures show the problems first time buyers are having, especially if they do not have a large deposit. This is effecting the poorest of society the most since richer families usually provide their children with a deposit to help them get their feet on the property ladder. 

The percentage of mortgages made to first-time buyers was a mere 35% of the total, which is the lowest figure since September 2007. This suggests that the recovery from the economic crisis has yet to have any effect on the prospects of first time buyers. 

The average deposit required of first time buyers is 25% of the value of the house, presenting a serious hurdle to receiving a mortgage.