House price inflation subdued

The building society says annual house price growth is now at 5% but affordability constraints are continuing to have a dampening affect on inflation. Overall prices increased by 1% in the three months to June, compared with 1.6% to May and 2.1% in the three months to March. The annual rate of growth increased slightly to 5% in June, but only because there was a fall of 0.1% this time last year. The price of a typical house is now £165,730, around £8,000 more in June last year and equivalent to a rise of almost £22 per day. Fionnuala Earley, Nationwide's group economist, says the hou...