News: Land Registry Announces First House Price Rise Since Jan 2008

Wed, 29 Jul 09

The Land Registry’s latest house price index has shown the first month-on-month rise since January 2008.

The rise, of 0.1% between May and June, brings the value of the average home in England and Wales to £153,046.

It also brings the Land Registry’s index, which is based on completed sales, in line with other indices based on asking prices and mortgage approvals, which are more up to date and have already been showing small rises for a number of months.

According to the Land Registry: “This is the first time in well over a year that the monthly change has been positive. However, as the monthly increase is only 0.1%, the movement does not signal a return to solid growth, but rather flattening prices."

The statement added that the value of the average home is still 14% down on June 2008’s figure.

A regional breakdown of the figures shows that prices rose by 2% in London, by 0.5% in the West Midlands, 0.4% in the South West, 0.3% in the South East and 0.2% in the East of England.

However, prices fell in five other regions. Prices fell by 0.1% in the North East, by 0.9% in the North West, by 1.1% in the East Midlands, by 1.1% in Wales and by 1.2% in Yorkshire and the Humber.

The average price for a home in London is now £301,859 and in the North East it is £106,424.

Detached homes have seen the smallest fall over the year, with the data showing the average price of this type of housing has fallen by 12.2% since June 2008.

During the same period the price of semi-detached homes fell by 14.3%, the price of flats and maisonettes by 14.8% and terraced homes by 14.6%.

According to Home.co.uk’s latest asking price index for July, the average mix-adjusted asking price for homes on the market in England and Wales rose by 0.3% between June and July.

By Joe Lepper

See also: Asking Price Index, House Prices and Trends by Town and Postcode, Mortgages, Land Registry’s House Price Index Explained




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