Year-on-year average house price deflation deepens

This is significantly worse than the -0.1% revised year-on-year deflation rate of November. On a month-on-month basis -0.7% deflation was recorded, worse than the revised -0.4% of the previous month.

For 2008 as a whole, the average house price was R748,428, which was 5.2% higher than the average of R711,591 for 2007. The average price inflation rate for the year is significantly down on the 11.2% average for 2007, and represents the fourth year of weakening from the bumper average inflation rate of 29.5% recorded for 2004, which was the peak year in the most recent property boom.

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