Home prices rose in Britain in September

LONDON, Oct. 6 (UPI) -- Home prices in Britain rebounded 1.6 percent in September, marking the third consecutive month of price increases, price researcher Halifax said.

Halifax said home prices in September were 7.4 percent lower than prices a year ago. In August, the year-over-year decline was 10.1 percent.

"The combination of increased demand and a low level of properties available for sale has pushed up house prices in recent months," Martin Ellis, Halifax's housing economist told The Times of London.

"Continuing increases in unemployment and low earnings growth are likely to constrain the rise in demand. There are also some signs that the improvement in market conditions is encouraging more people to put their properties up for sale," Ellis said.

IHS Global Insight Chief Economist Howard Archer was skeptical a long-range housing recovery was guaranteed.

"While it is now looking very likely that April marked the trough in house prices on the Halifax measure, we suspect that they will be prone to relapses over the coming months and we very much doubt that a sharp, sustainable upward trend in house prices is in the process of developing," he said.