House price growth slows as housing market cools

Generic "for sale" sign in front of a house

Generic «for sale» sign in front of a house

The Halifax says house prices rose again in July after dipping last month, making the average price £261,221 and leaving prices 7.6% higher than at the same time last year.

Last month, average prices were 8.7% up on a year ago.

The lender said it expected prices to settle further after the recent spate of strong rises, which has been fuelled in part by tax breaks on stamp duty.

But it said a shortage of homes was likely to support prices.