The House Price Index
The long-term house price index which is calculated relative to the base quarter for the survey in 1984 now stands at 568.08 representing yet another in a series of sharp declines in the index relative to the peak of the cycle.
The graph of the house price index increasingly highlights the spike which occurred in mid 2007 with prices seemingly falling away in 2008 and the start of 2009 as quickly as they increased in 2006-07. However, if considered over the longer-term perspective of the past 10 to 15 years, residential property is still showing significant capital value appreciation relative to RPI.
