United Kingdom Property News

UK home prices growing at fastest rate since March 2010 says Hometrack

UK home prices growing at fastest rate since March 2010 says Hometrack
House prices in the UK have increased by 0.3% in March, the highest growth since March 2010, the latest index from Hometrack published today (Monday 25 March) shows.

The analytics firm said that the impetus for growth came from London where prices rose by 0.7% in the month, the highest increase in the capital city since February 2010.

The data also showed that pricing levels have been improving across the country. House prices were down in only one region, the North East, compared to January and February when prices were lower in four and three regions respectively.

Prices were up across 23.9% of the country. The strongest house price growth outside London was seen in the South East and East Anglia where prices crept up by 0.2%.

In London 60% of postcodes saw a price increase in March and across the rest of England and Wales prices rose across a fifth of postcodes, the highest number for three years.

Figures also show that supply over the last two months has grown by 13%, but by just 3.5% over the last six. Demand meanwhile, has risen by 19% in the last two months, slightly lower than the same period in 2012 when it was 22.5%.

The time on the market in London now stands at 4.9 weeks, the lowest level since October 2007 when it was 4.4 weeks. Across the Midlands and Northern regions the time on the market averages 11.8 weeks.

In London the proportion of asking price achieved is 95.3%, its highest level since August 2007. In the South the ratio stands at 94.3%, the highest level since July 2010 when it was 94.4%. Across the rest of the country the figure stands at around 93%, a level consistent with broadly static prices.

Looking ahead the firm says that Funding for Lending Scheme, together with recent budget initiatives aimed at both funding and housing will act as yet more support to property prices.