History of UK House Prices Real and Nominal

UK House Prices Between 1975 and 2007 Q4:

• Nominal House prices increased by 1,672% or £174,000
• Real terms house prices increased by £119,085 or 164%

Note there is a much bigger change in nominal prices than real prices. It also means that with house prices falling now, the real effect is even greater. If house prices drop by 10% in nominal terms, it means in real terms for drop is closer to 13%.

The data is collected by the Nationwide one of the UK’s largest mortgage lenders. Nationwide

See historical data of UK house prices