City AM (Main): Capital house prices up as more seek flatshares
Tue 15 Sep 2015
HOUSE prices climbed 0.8 per cent in July, the Office for National Statis-tics said yesterday, keeping annual house price growth above the five per cent mark. Year-on-year price growth was 5.2 per cent, down from 5.7 per cent in June. The east, south east and Lon-don led the UK's annual price growth, while houses were cheaper in Scotland and the north east. Price growth is expected to pick up during the remainder of the year, ac-cording to a recent survey of survey-ors. Halifax has also said that prices jumped 2.7 per cent in August alone. Mortgage lending has been on the rise, helping to fuel demand. The number of home purchase loans reached 67,800 in July, accord-ing to figures released by the Coun-cil of Mortgage Lenders yesterday. It marks 7.4 per cent more than in June. The value of loans shot up 10.9 per cent. High house prices are leading to more people flatsharing, website Easyroommate said yesterday. The average age of a London flatsharer
London houses cost 5.5 per cent more in July than in the same month last year
is 28.7 years, up from 28.1 years in 2013 - a 2.1 per cent increase. "London usually leads the charge in terms of UK house price growth, but it's been kicked into touch for a few months now by improvements in the east and the south east. Nev-ertheless, property values in the capital are steadily gaining ground and are comfortably above where they were last summer when 2014's
energetic first half started running out of steam," said Peter Rollings, chief executive of estate agents Marsh & Parsons. "However, the property market in London has evaded a number of challenges - such as the threat of mansion tax and coming to terms with the stamp duty reforms - in the last year and emerged all the stronger for it"