Rics: Land Registry price fall figures not unexpected

The Royal Institution of Chartered Surveyors (Rics) has suggested that the fall in house prices reported by the Land Registry was not unexpected.

Chief economist Simon Rubinsohn explained that the two per cent drop in February was part of a larger trend.

"This is broadly consistent with what is being suggested by most other house prices indices," he explained.

Land Registry figures show a 16.5 per cent year-on-year reduction in the value of a home.

According to the statistics, the average UK property is now worth £153,862, while in London the price stands at £298,563.

Homeowners who had been looking to sell may now be more inclined to improve their current dwelling with something like a conservatory.

Rics recently reported a rise in buyer interest due to lower prices but suggested this was unlikely to transfer into activity until the mortgage market regained some vigour.