House prices in Oxfordshire fell in December, putting the county bottom of a nationwide league table.

The Hometrack Index shows prices slipped by 0.3 per cent, making it the worst performing area in the country along with Berkshire.

But experts and local agents claim home owners should not be alarmed by the statistics as the long-term forecast for the year indicates positive growth with prices rising locally by up to 10 per cent.

Hometrack managing director Patrick Currie said: "There was a slowdown in December but it was probably seasonal and not too surprising."

William Kirkland, residential agency manager with Oxford estate agent Cluttons, said he expected local prices to rise by between five and 10 per cent in 2004.

The figures showed the overall average price of a house in the county was £216,900. The average national price was £146,800 -- up 0.2 per cent.

"We are now starting to see a big pick-up in interest and activity and although there will be some correction in areas which previously overheated, we don't anticipate a fall in prices."

He added: "Demand is good and when a very good property comes to the market, it will sell quickly."

Hometrack compiles a monthly index based on information from over 7,500 reports from up to 3,500 approved agents across Britain.

Best performing county was Cumbria with an average price of £102,100 - 1.3 per cent up on the previous month. Coventry was the top hotspot city at £101,500, a rise of 2.3 per cent.

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