Rightmove: House prices up in October

House prices increased slightly over the last month, firming up evidence that a soft landing in the housing market has occurred.

According to property website Rightmove.co.uk, prices rose by 0.5 per cent in October following three consecutive monthly falls of between 0.2 per cent and 1.0 per cent.

Buyers have been tempted back to the market by the £3,235 fall in house prices in the period July to September.

Rightmove.co.uk's commercial director, Miles Shipside, said house prices were now at a sustainable level again.

"After five years of booming house prices, followed by a year-long worry about a crash, we appear to have had a 'soft landing'," he said.

"Now we have touched down at a sustainable level of pricing, buyers and sellers are gaining in confidence."

"However, don't expect the market to take off again until a refuelling by more first time buyers, lower mortgage rates, and a continuation of realistic pricing by sellers and their estate agents."

The average asking price is now £196,348, and 1.5 per cent above asking prices a year ago.

Rightmove's survey is based on properties coming onto the market through Rightmove estate agents in the period September 11th to October 8th.

For details of this week's homes and property TV click here