UK house prices rise £6K in a year to top £300k mark

Christina Hoghton
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Christina Hoghton

But while prices are up, the number of properties sold is down

House price annual growth rates increased for the first time in a year in May, but transactions decreased, according to data.

The latest report from LSL showed that on an annual basis the UK housing market values rose slightly from 2.1% to 2.2% in May, following 11 months of falls.

On a monthly basis, prices were flat with no change on April.

The average house price in England and Wales is now £305,654, up more than £6,000 on a year ago, when prices remained below the symbolic £300,000 mark.

Transactions are down 6% in the first five months, compared to the same period in 2017.

Regional overview

By region, Wales continues to top the tables for annual price growth, with prices up 5.2% over the year.

In Monmouthshire prices have risen 13.9%, with a new peak average price of £291,344.

After Wales, it’s the North East that’s the star performer, with prices up 4.5%, bolstered by strong performances in Northumberland, up 9.0%, and Tyne and Wear, up 6.1%.

In the East Midlands prices increased by up to 2.6% annually.

At the other end of the scale, growth is weaker in Yorkshire & Humber, at 1.2% annually.

In the South East prices are up just 0.6%, with Windsor and Maidenhead, the highest priced authority outside London, seeing the biggest annual fall in prices, down 11.3%.

In London, taking into account new build properties, annual growth is at 2.9%, the lowest since March 2012.

Prices fell on a monthly basis, down 0.3%, taking the average house price in the capital to £636,947.

A number of London boroughs recorded big falls over the 12 months to April 2018, including the City of London, down 24.9%; Southwark, down 19.1%; and Wandsworth, down 13.1%.

Oliver Blake, managing director of Your Move and Reeds Rains estate agents, said: “Whilst the market may seem subdued, we should welcome the fact that every region in the UK is still growing and that the London market seems to be shaking off its malaise.”