July sees increase in national house prices

New data from the Land Registry this month, revealed a rise in house prices during July of 1.3%. This rise has impacted the annual fall in house prices, bringing that figure down to -2.1%, and moving in the right direction.

The average property price in England and Wales now stands at £163,049, with the biggest increases during July occurring in the South West at 2.2%. Property prices in the North East appear to be the most volatile, with a monthly decrease of -2.3%, pushing the annual reduction to -8.8%.

The market in London shows a much more stable picture, with London property prices experiencing an annual increase, showing growth of 1.3% during the last 12 months.

Although it may be somewhat premature to open the champagne, CEBR, the Centre for Business and Economics Research, also had a similar positive news story for the future of the UK housing market. New research from CEBR stated that they expect house prices to increase ‘gently’ over the coming year, anticipating that prices are expected to rise by 14% between 2012 and 2015. A slight revision to their analysis in May 2011 predicting a 16% growth, but a good increase all the same.

 

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Posted by: Matt Categories: Buying, Estate Agents, Finance, For Sale, House Prices, Industry News, Property Market, Selling Tags: , , , , , 7 Comments

7 Responses to July sees increase in national house prices

  1. avatar David Brittin says:

    ‘Moving in the right direction?’ That’s very much open to question as average house prices as a ratio to earnings have becomeextremely expensive in recent years pricing many would-be first time buyers out of the market. Surley a gentle correction downwards can only be a good thing in terms of affordability.

    • avatar Matt says:

      I agree that it is difficult for first time buyers in an improving market, but there are alternatives available to help. As well as traditional shared ownership/ help to buy schemes, the Government has just launched a new initiative called the FirstBuy Scheme – more info can be found here: http://www.propertywide.co.uk/firstbuy-scheme/

  2. avatar Barry Gribble says:

    I’m sorry, but an increase in house prices is not, “Moving in the right direction” for those of us wishing to simply buy a home.
    Before writing such rubbish think about those of us who are not in a position to buy a home, as wages do not match the ludicrous inflated, invented prices that are slapped on small workers cottages in places like Cornwall.

    • avatar Matt says:

      An increase in the price of property shows confidence in the economy itself, thereby benefiting us all eventually. With improved confidence comes more options for buyers from lenders, potentially making it easier to get the finance required to make a purchase. In terms of affordability, there are schemes available to help people, such as the Government’s FirstBuy scheme – more info here: http://www.propertywide.co.uk/firstbuy-scheme/

  3. avatar oliver says:

    Newspaper headlines indicating a 20%+ price increase in house prices over 5 years as staggering is wrong. Compounded this is less than current inflation in the RPI. That house prices are moving in the right directionis good, as, even though many of us may say we have to buy a house to live in, it is fundamentally an investment. if we expected prices to fall massively we would rent, if we didnt own a house already, and if we do own one then we would want prices to be at least as high as the price we paid, gentle house inflation at least at inflation levels is healthy for the industry and economy as a whole. First time buyers, if you can buy now, do so, and get the best house you can reasonably afford.
    I am qualified as an economics teacher although now retired.

  4. avatar Elaine says:

    I think Estate Agents try to control the market. When property is moving slow they under value propety just to keep in business and ticking over. When property is moving quickly they push up the cost of homes, so they are never the loosers.

  5. avatar Trevor says:

    How would these statistics look if London was taken out of them. There are a lot of sales way below this in the lower end of the market, particularly.