House prices have recorded the biggest monthly fall for over a decade, according to the latest figures.

Prices fell by 2.3pc in November, the largest drop since October 2008 at the time of the Great Recession, Halifax has said.

The building society said the figures show "the worst of the current market volatility" and homebuyers pausing on potential moves.

Kim Kinnaird, director of Halifax Mortgages, said: “The monthly drop of 2.3% is the largest seen since October 2008 and the third consecutive fall.

“This month’s fall reflects the worst of the market volatility over recent months.

“Some potential home moves have been paused as homebuyers feel increased pressure on affordability and industry data continues to suggest that many buyers and sellers are taking stock while the market continues to stabilise."

What is the outlook in Norfolk?

Despite the doom and gloom, estate agents in the county are confident there is no cause for concern but warned that sellers need to be "realistic."

Watton & Swaffham Times: Jamie Minors, managing director of Minors & BradyJamie Minors, managing director of Minors & Brady (Image: Minors & Brady)

Minors & Brady managing director, Jamie Minors, said: "The housing values in Norfolk have surged over the past 2 years, at a pace we have not seen for some time.

"With inflation, base rate and mortgage rate changes, we are seeing a correction of the market.

"There is no cause for drastic concern, as the majority of homeowners have strong equity in their properties, unlike that of 2008.

"Mortgage rates have already started to reduce and the market is likely to stabilise, to return to more normal conditions pre-covid.

"I feel it’s a fantastic time to purchase as there are more homes available."

Watton & Swaffham Times: Henry Cockerton, head of residential at Brown&CoHenry Cockerton, head of residential at Brown&Co (Image: Brown&Co)

Henry Cockerton, Head of Residential at Brown & Co, added: "Sellers will need to be realistic over the coming 12 months, as we swing from a dominant sellers' market to a buyer’s market.

"We’ve seen unprecedented growth since March 2020 and the current fall in values is probably a good thing in terms of stability over the medium term and prices are still considerably above pre-Covid levels.

“If you are buying and selling in the same market as most people are, then small changes in value tend not to impact."