May Market Trend Data from Land Registry
The May data shows an annual price increase of 4.6 per cent which takes the average property value in England and Wales to £179,696 compared with the peak of £180,990 in November 2007. Monthly house prices show no change (0.0 per cent) since April.
The regional data indicates that:
- London and the South East experienced the greatest increase in their average property value over the last 12 months, both with a movement of 9.1 per cent
- East and North East experienced the greatest monthly rise, both with a movement of 1.6 per cent
- Wales saw the only annual price fall with a decrease of 0.6 per cent
- Wales also saw the largest monthly price decrease with a fall of 1.7 per cent.
Sales and repossessions during March 2015, the most up-to-date figures available, show that:
- the number of completed house sales in England & Wales decreased by 12 per cent to 59,311 compared with 67,321 in March 2014
- the number of properties sold in England and Wales for over £1 million decreased by 6 per cent to 842 from 893 a year earlier
- repossessions in England and Wales decreased by 35 per cent to 706 compared with 1,092 in March 2014
- the region with the greatest fall in the number of repossession sales was the East.
Andy Knee, Chief Executive of LMS, comments:
“Greater confidence following the election and a pre-summer boost to the market saw house prices rise by 4.6% year-on-year in May, with London and the South East driving the increase.
“It is also welcome to see areas outside this – the East and North East – experience a monthly increase. These areas were hard hit by the crash and many will only now be starting to see their property values return to previous prices. This means they may now finally escape being mortgage prisoners, offering the opportunity to remortgage and boost incomes.
“More worryingly, however, is that the average monthly number of property transactions has decreased substantially year on year from March 2014 to March 2015. We anticipate that figures later on in the year – particularly from May onwards – will see a rise but the market should not become complacent. Supply and affordable housing remains critical to the long-term security of the market and needs to be addressed.”
Peter Rollings, CEO of Marsh & Parsons, comments:
“Monthly house price change may be static, but annual improvements across the UK means we are now just shy of the November 2007 peak. London and the South East continue to ace proceedings in annual terms, but the North East has proved something of a wildcard with the largest monthly improvement, along with the East.
“The post-election feel-good factor will soon serve up higher prices or transaction levels, and the market is set for future growth given the improved buyer confidence and increased supply of properties we’ve seen throughout June. High-end buyers continue to court prestigious London properties and, as a result, prices will continue to rise sustainably in central areas.”
The Price Paid Data includes details of over 62,100 residential property sales in England and Wales lodged for registration in May 2015. The most expensive sale in May 2015 was in London SW3 (£10,050,000). The cheapest sale in May 2015 was in Copeland, Cumbria (£10,000).