Reuters: House prices fall 8.7 percent in 2008

House prices will fall by 12% next year, wiping around £20,000 off the average value, it is claimed today.
Research by industry analysts Hometrack records a fall of 8.7% this year and warns of a further drop in 2009, with profound effects on families and the wider economy. Consumer confidence will take a hammering from the fall in the 'bricks and mortar' wealth of the nation, which will bring lower spending on the High Street.
This year's house sales will be down 45% compared with 2007, with worse expected over the next 12 months.