Average UK house price now at record high

The latest Rightmove house price index has revealed that during April, house prices gained a further 1.6%, pushing the average price paid for a home in the UK to a record breaking £286,133.

Related topics:  Property
Warren Lewis
20th April 2015
House Price Up

According to Rightmove, the property shortage experienced in many parts of the country has been exacerbated by a 2015 slump in the number of properties being put up for sale and by increased demand.

The number of new sellers is down 4% so far in 2015 compared to 2014, yet March was the busiest ever month on Rightmove - up almost 20% year-on-year to 115 million.

The price of property coming to market has risen by an average of nearly £85,000 (+27.5%) since the last election in May 2010.

Rightmove are now stressing the importance of policies to ensure that more homes are made available as housing becomes an important election topic.

Graham Davidson, managing director of Sequre Property Investment, says: “From red to green, each party has made bold claims about boosting supply and time will tell if any of these come to fruition, this is not the first time the Government has made such headline grabbing promises.

The disparity in five year price rises between London and the north in particular - 49% against 3.7% - is eye watering. As regional economies outside of the capital continue to develop with more sustainable house price growth, owner occupiers and investors alike will be looking elsewhere for a better quality of life and better returns.”

Jeremy Duncombe, Director, Legal & General Mortgage Club and Housing, commented: “Although house prices are rising at a reduced pace compared to last year, demand is continuing to outpace supply as the number of new sellers is down by 4% compared to last year. This has pushed the average asking price to a record high in April.

On the whole it’s good news that house price growth is slowing, but prices are still rising far beyond the level of inflation which is pricing many people out of the market. In order to make homeownership an achievable goal, we must build an extra 250,000 houses per year to  stabilise supply and demand.”

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