London experienced the greatest monthly price rise with a movement of 1.3 per cent. The average property price in the capital is now £314,954.
All regions experienced a decrease in their average property values over the last 12 months. The region with the most significant annual price fall was the North East with a movement of -8.2 per cent.
Neath Port Talbot experienced the greatest annual price fall with a drop of 18.7 per cent.
The most up-to-date figures available show that during July 2009 the number of completed house sales in England and Wales rose by 9 per cent to 57,579 from 52,628 in July 2008. Monthly sales in England and Wales have risen steadily each month since January 2009 when they stood at 26,662.
David Brown, commercial director of LSL Property Services, commented:
"We’re seeing that house prices are recovering and confidence is returning to the market. Fears about negative equity have eased as the annual rate of house price decline has fallen – now for the fifth consecutive month. House prices are being supported by a shortage of housing stock – combined with a backlog of pent-up demand from buyers.
Mortgage finance is still prohibitively expensive for most first-time buyers and prospective property investors; it’s cash buyers who are
pushing up the number of purchases. Transactions may be up on last July, but the growth we have seen there has been curtailed. Until we see a return to affordable loans with realistic loan to value multiples, prospective landlords and first-buyers will not be able to capitalise on the improving, yet affordable house prices."
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