House prices in England and Wales up 1.5% last month, latest land registry data shows
Tue 29 Oct 2013
House prices increased 1.5% last month compared to the previous month taking the average house price in England and Wales to 167,063. The September data from the Land Registry's House Price Index also shows an annual price increase of 3.4%.
The region in England and Wales which experienced the greatest increase in its average property value over the last 12 months is London with a movement of 9.3%. The North East experienced the greatest monthly rise with a movement of 2.7% and the only region with an annual price fall is Wales with a decrease of 1.7%. Wales also saw the most significant monthly price fall with a decrease of 0.4%.
The most up to date figures available show that during July 2013, the number of completed house sales in England and Wales increased by 17% to 69,140 compared with 59,141 in July 2012. The number of properties sold in England and Wales for over 1 million in July 2013 increased by 34% to 1,143 from 852 in July 2012.
These latest figures add another splash of colour to the increasingly bright picture of the UK housing market recovery, according to Peter Rollings, chief executive officer of Marsh & Parsons.
The dramatic increase in the number of completed house sales supports the positive mood, helped by low interest rates, Help to Buy and signs of a sustained economic recovery. Almost all UK regions are showing price increases, but the rate of growth in London is operating at a completely different level, he said. An imbalance of supply and demand means that property is changing hands in record time and for close to and sometimes above the asking price.
While interest rates remain low, prime London property will continue to be seen as an attractive investment opportunity, and competition for properties will remain high, he explained.The enduring appeal of a prime London home for both UK and overseas buyers is evident in the figures. We currently have 18 buyers registering for each available property and there is no sign of this slowing down, he added.
David Newnes, director of LSL Property Services, said that with rising prices boosting confidence levels, sales figures also rising the current market is a stark contrast from just a year ago. 'More mortgages are being approved and waves of first time buyers are returning to the market, meaning theres certainly cause for renewed optimism and confidence,' he pointed out.
'Help to Buy and more lending at higher LTVs have provided a vital boost and this is giving a helping hand for those who have been struggling to step up onto the property ladder. But this is still a tall order for those still trying to save for a deposit and the increases in demand must be matched with greater supply to maintain a healthy property market in the long term. And for this we need more new homes to be built,' he added.