Annual house price comparisons for the UK

 

Every report is currently talking about a market recovery. However, some reports are over estimating the market success we are seeing. What we are seeing is London recovering to its normal rates of property price growth, no unsustainable bubble – much as it looks good in a press headline. Let’s face it, people have had six years to save, many seeing no London house price growth at all during this time, so it’s no wonder 20+ people are queuing to view properties to buy, the pent up demand in the Capital is huge. The good news is, other regional markets are now seeing property sales move to a more ‘normalised’ market – having seen sales numbers for first time buyers, people trading up and down or investing, halve in numbers during six credit crunch years. What regional markets will be keen to see next, is increased prices too, but whether this will be available for all properties in every market, will remain to be seen.

Average House prices for December 2013/January 2014

How do December’s/January’s prices compare over time?
This month’s figures suggest:-

• The Nationwide reported average property price of £176,491 for January 2014 when compared to previous years is the highest figure since April 2008.
• The Land Registry average price for December 2013 of £167,353 is the highest figure since August 2008.
• Acadadata reported property prices in January 2014 are an average of £241,101 and are now around £12k higher than at the start of 2013. 

How do this month’s prices compare to the rest of the year in England and Wales?

For 2013, we can see from the chart that the average price trend is now moving upwards. 

Chart above showing average property/house prices in England & Wales from January - December 2013*

• So far last year, ‘average property’ prices for mortgaged properties started off at £ £162,245 in January 2013 and has grown consistently to a height of £176,491 for Nationwide (January 2014).
• Land Registry’s  average sold prices (including some cash sales) started at £161,795 in January 2013 and have now reached £167,353 (December 2013).
• Acadadata (January 2014) average property prices for all properties started off in January 2013 at £227,478 and have now reached a high of £241,101.  

How far away are property prices from the heights achieved in 2007/8?
Whilst we have seen recent improvements in property prices in some areas of the UK, compared to the heights of 2007/08, property prices remain:- 

• -4% below the height of 2007/08 for Nationwide
• -9% below the height of 2007/08 for Land Registry
• 4% above the height of 2007/08 for Acadadata

How do this month’s property prices compare to the lows of 2009?
Although in the main, property prices haven’t recovered to the heights of 2007/8, compared to 2009 lows, property prices are recovering quite strongly – especially for mortgaged properties through Nationwide:-
 

• 19% above the lows of 2009 for Nationwide
• 10% above the lows of 2009 for Land Registry
• 22% above the lows of 2009 for Acadadata

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