First-time Buyers
House prices rocket 9.7% in London
UK property prices rose by 3.3% in the year to July, with London pulling up the average value.
According to data released by the Office for National Statistics, the South East, East Midlands and Northern Ireland also witnessed healthy house price growth.
The amount typically paid by first-time buyers for a property rose by 4% over the year.
The Finance Planning Group chief executive Terry McCutcheon said house prices were repeating previous trends:
“When house prices start to go up in value it starts in central London and ripples out.
“In the first-time buyer market properties are more affordable outside of London and the South East. People who work in London do often commute from quite far out.”
House prices rose the fastest year-on-year since December 2012, according to ONS records.
Urban Sales and Lettings director Oliver Atkinson said ‘explosive’ growth in London more than made up for the more subdued picture elsewhere:
“Buyer sentiment is improving steadily, and there is a growing sense that – despite the Bank of England’s forward guidance – the current cheap mortgages won’t be around forever.
“The result is the release of a lot of pent-up demand from first-time buyers, as those who have saved hard for a deposit decide that now is the time to take the plunge.”