House prices 'wilted in spring' says Halifax

House prices falling before his eyes

So it wasn't just the daffodils being given a roasting by the April sunshine. The BBC reports that house prices have been falling in spring, according to the Halifax, but that the lender is expecting a stabilisation in prices later in the year. Not if the economic woes of America are not sorted and the unions get all dramatic.

The value of the average home rose by 0.1% from April to May, to £160,519. But prices were 4.2% lower than the same period a year ago - the biggest annual drop since October 2009.

The Halifax, now part of Lloyds Banking Group, said a moderate improvement in the economy and low interest rates would help the market. Nice thought from Lloyds Bank, but they were a key part in this terrible mess. They talk loftily now but they never really said sorry. Can we take them seriously now they talk of forecasts and improvement?

Banking is doing a road show today trying to "interface" with the business and commercial public. Brave deed. Maybe suits of armour would be better that city suits. And whilst they go about telling business they are lending and want to lend, they do so in the face of retail sales also dipping. Confidence is the name of the game. None of us feels really confident. I've got hope, but that's not quite the same thing.

Posted in: economic recovery,economy,estate agency,house prices,retail