UK house prices expected to fall by 8% next year, says Halifax

Lender says market rebalancing after years of growth, as mortgage rates and cost of living push prices down

Rising mortgage costs and the broader cost of living crisis will push house prices down by about 8% next year, according to a forecast by the lender Halifax.

Halifax, which in November reported the largest monthly fall in house prices in 14 years, said the market was now rebalancing after years of conditions that have resulted in some of the biggest rises in house prices ever recorded.