Further turn for the worse for house prices

All regions in England and Wales experienced increases in their average property values over the last 12 months.

The region with the highest annual price change is London with an increase of 8.8 per cent. The region with the smallest annual price rise is the North East with a movement of 0.2 per cent.  Yorkshire & The Humber experienced the greatest monthly rise with an increase of 1.5 per cent. The West Midlands experienced the most significant monthly price fall with a movement of -1.4 per cent.

The most up-to-date figures available show that during July 2010, the number of completed house sales in England and Wales rose by one per cent to 64,411 from 63,612 in July 2009. The number of properties sold in England and Wales for over £1 million increased by 59 per cent between July 2009 and July 2010, from 563 to 896.

Alison Beech, Business Relationship Director at Valunation, said :

“This has been a week of ups and downs for the UK economy. While the growth in GDP exceeded expectations, house prices have continued to fall. The last few months have seen the publication of contradictory positive and negative house price indices, but the most recent reports have taken a turn for the worse. Nationwide reported a fall in house prices this week, and today’s Land Registry House Price Index also showed a decrease. While the recent austerity measures may not have managed to restrain GDP, they have certainly affected house prices and, by continuing to subdue consumer confidence and tighten household finances, it seems likely they will continue to do so for the remainder of the year.”

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