Press response to the Land Registry's latest HPI data
Fri 28 Mar 2014
Peter Rollings, CEO at Marsh & Parsons, comments: "This mornings figures bolster the evidence of a UK housing market recovery, with annual property price growth of 5.3% in the year to February. However this growth is not being felt uniformly and some regions are still experiencing a fall in house prices. Property values in the North East actually fell 1.4% in the month to February. Overall, average house prices across England and Wales are still 6% lower than the November 2007 peak, which should help to quieten the noisy minority scaremongering about a housing market bubble.
"But the London property market continues to operate in its own microclimate, with annual increases in property values of nearly 14%, in stark contrast to the nationwide picture. Demand in the capital is far higher than the rest of the UK, and this creates a unique environment, unrepresentative of the market as a whole. London has had a four year head start on the path to the recovery, and the reality is that other parts of the country are only just catching up. Offering gold standard property investment, Prime London attracts a steady stream of buyers from both the UK and abroad. Competition for the best properties means that so far in 2014 we have recorded many properties selling extremely quickly and for closer to or above asking price than in the last several years. But supply should start to catch-up in the Spring, as more sellers come to market and ease the pressure on the capitals limited housing stock, helping conditions to stabilise."