Annual house price growth in England and Wales was 5.4% in June, taking values to a new high of £181,619, according to the latest official property data from the Land Registry.This surpas...
Annual house price growth in England and Wales was 5.4% in June, taking values to a new high of £181,619, according to the latest official property data from the Land Registry.
This surpasses the previous peak of £180,983 in November 2007 and month on month prices increased by 1.1%, the data also shows.
A regional breakdown of the data shows that the largest annual price growth was in London where prices were up 9.2% and the North East experienced the greatest monthly rise with a rise of 3%.
Yorkshire and The Humber saw the lowest annual price increase of 1.4% and also saw the largest price fall month on month with values down 0.9%.
Sales and repossessions during April 2015, the most up to date figures available, show that the number of completed house sales in England and Wales decreased by 19% to 57,180 compared with 70,244 in April 2014
The data also shows that the number of properties sold in England and Wales for over £1 million decreased by 22% to 874 from 1,114 a year earlier and repossessions in England and Wales decreased by 48% to 505 compared with 974 in April 2014.
In the North East prices were up 3% month on month and 2.4% year on year to an average of £102,064 and in the North West they were up 0.2% month on month and 3.6% year on year to £114,754.
In Wales prices increased 1.7% month on month and 2.7% year on year to an average of £181,619 while in the East Midlands the rise was 0.7% and 5% to £134,965 and in the West Midlands prices fell 0.2% but are still up 2.1% year on year to £137,209.
The South West saw a month on month rise of 0.8% and an annual rise of 5.2% to an average of £189,850, the South East saw prices rise 0.4% month on month and 8.4% year on year to £247,375 and in London there was a 1.8% monthly rise and an annual increase of 9.2%, taking the average price of a home in the capital city to £481,820.
In the East of England prices fell 0.8% month on month but are still up 7.8% compared with June 2014, taking the average property price in the region to £203,428 while Yorkshire and Humber also saw prices fall month on month by 0.9% but up 1.4% year on year to £121,070.
A breakdown of the figures by property type shows that detached house have increased by 5.4% year on year to £284,478, semi-detached by 5% to £171,154, terraced homes by 5.4% to £137,123 and flats by 5.6% to £174,523.
Adrian Gill, director of Your Move and Reeds Rains estate agents, described then figures as ‘healthy'. ‘Confidence at the bottom of the market is particularly strong and it is the region with the lowest average house price, the North East, that has seen the biggest monthly improvement in prices, as cheaper mortgage finance and government support schemes inject more energy into areas where the recovery needs a careful watch,' he said.
‘While this looks promising, prices will only head north if the supply of new homes coming onto the market dries up. Growth in the construction industry was flat during the second quarter of this year, which should be ringing alarm bells. Buyers' purchasing power has rarely been stronger, but this golden opportunity will be spoiled if there's nothing for them to buy,' he added.
According to Peter Rollings, chief executive officer of Marsh & Parsons, the fact that most regions across the UK are now posting monthly increases is the first evidence that post-election confidence is now filtering through to the figures after a period of levelling off.
‘London continues to be at the forefront of this and prime postcodes have enjoyed quarterly upticks after an uncertain period at the beginning of the year,' he added.
Jonathan Hopper, managing director of the buying agents Garrington Property Finders, pointed out that while buyer demand and confidence are strong, much of the rise in prices is being driven by constrained supply.