Property website says high asking prices in London and the south of England driving up average price... for now.
Asking prices for homes in England and Wales have reached a new record high, according to property website rightmove’s June House Price Index.
However, inflation means this is actually 13% lower than August 2007’s house price peak, just prior to the run on Northern Rock.
Once again London is the only region to buck this trend, with prices 3% ahead of Retail Prices Index inflation since that high nearly five years ago.
Asking prices in Wales have fallen furthest over that period, down by 24% when adjusted for inflation.
Rightmove says the average asking price in England and Wales is now £246,235, up £2,476 or 1% on May. But this is almost entirely driven by London and the south of England.
Looking at the annual change, prices in London have leaped up by a huge 8.8%, but again this is the only area where prices are higher than inflation.
|
Region |
Average asking price – June 2012 |
Annual change in average asking price |
|
Greater London |
£477,440 |
8.8% |
|
South West |
£270,380 |
2.9% |
|
East Midlands |
£167,660 |
1.7% |
|
South East |
£318,717 |
1.4% |
|
Yorkshire and Humberside |
£159,418 |
0.9% |
|
North West |
£166,543 |
0.5% |
|
Wales |
£167,875 |
-0.6% |
|
North |
£152,080 |
-1.2% |
|
East Anglia |
£227,555 |
-1.8% |
|
West Midlands |
£187,294 |
-2.8% |
Rightmove says that with “a summer of sporting distraction” now underway, sellers need to price their properties realistically and promote their selling points better to have any hope of a quick sale.
There was an increase in new properties coming onto the market before the Diamond Jubilee holiday. However, rightmove believes asking prices have peaked for now, even in London and the south, with buyers likely to give house hunting a miss until September.
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