Huge drop in house prices

UK house prices have seen an annual double-digit fall for the first time since 1990, according to the latest survey from the Nationwide.

Prices were 10.5 per cent lower in August than they were a year ago.

The average home now costs £164,654, which is more than £19,000 cheaper than the average price one year ago.

Prices fell by 1.9 per cent compared with July.

Gloomy forecasts from house builders mean the market is likely to remain subdued, according to Nationwide.