Thrifty Loans

Greater London still heads the list of fastest rising house prices, but it has now been joined by a south coast contender. According to figures from the Land Registry, property prices increased by 15.6% in the year to April in the capital and also in Brighton & Hove.

On average, over the whole of England and Wales, prices went up by an average of 9.1%, and that is higher than the 8.3% increase seen in March. That makes the average price of a home in England and Wales £179,935, up £15,003 in a year.

Although this makes it look like the housing market is still accelerating upwards, there is little doubt that it is going to cool down soon. The upward movement in April is probably going to be the peak of increases to the market for a while. With interest rates up for the fourth time in ten months in May, with inflation higher than forecast and higher than where the government wants it, and with ever increasing predictions for a slow down, the market is bound to begin to flatten soon.

Nevertheless, for the moment prices are increasing more than twice as fast as twelve months ago. The annual price change in April 2006 was a mere 4.1%, compared to 9.1% a year later.

Other recent figures from the Halifax and Nationwide have shown annual rates of increases even higher than the Land Registry figures.

In London itself the average price for a home is now £333,785, which is over £150,000 more than the England & Wales overall average.

Despite high rises in London and Brighton & Hove, not everywhere is showing show fast rises. In Nottingham house prices have risen the least in the past twelve months, going up by just 1% to an average property price of only £101,810.

Related posts:

1. House prices down in August
2. London house prices fall
3. Nationwide Reports Another Fall In House Prices
4. House prices up 40% by 2012
5. Report shows that house prices continue to plummet