House prices fell 1.8 per cent year-on-year in October, according to the latest house price index from Halifax.
The average house price now stands at £163,311 following a 1.2 per cent increase between September and October.
Halifax housing economist Martin Ellis says: “The housing market has proved highly resilient in recent months despite the weak economic recovery and the deterioration in the outlook for both the UK and global economies. Despite these developments, house sales and the supply of properties for sale have remained very stable since late 2010.
“The prospect of exceptionally low official interest rates over the foreseeable future is likely to continue to support the market in the face of a very difficult economic climate. Both prices and activity levels are expected to remain close to current levels over the coming few months.”