Response to the Land Registry's latest House Price Index
Thu 02 Jan 2014
Peter Rollings, CEO of Marsh & Parsons, comments: "2013 certainly ends on a high, with house prices continuing their steady ascent, after a strong year of slowly rising property values. The past twelve months have seen a revival in market confidence, along with a new influx of first-time buyers, buoyed by record low interest rates, and the Help to Buy scheme which has eased lending conditions. But looking at the wider picture, the recovery is still patchy across the country, with an annual price fall in the North East reminding us that we still have a long way to go.
"Overall it is the London property market which is really blazing the trail, with 10.6% annual growth in house prices greatly outperforming other regions far and wide at more than triple the nationwide average price growth. In exclusive Prime London postcodes, the combination of low supply and fierce demand is distorting prices even further, pushing half of all homes over the 1million pricetag. This rate of growth is unlikely to slow down as we move into 2014, but after a strong start to the New Year we expect prices to stabilise to a more orderly annual rise of 5-7% over the next 12 months."