Nationwide Reports 1.6% Increase in House Values

According to the latest official statistics, published by the Land Registry on Friday, August 28th, property values in Wales and England, which saw an increase of 1.7% in July 2009, rose the most in a time period of 5 years. Also, the July increase in house prices meant that the average annual rate of decline fell from 13.8% in June to 11.7% last month, which is the lowest rate of decline since October 2008. Land Registry figures suggest that the latest increase in house prices left an average British house priced at £155,885. The report of the organisation was based on figures obtained from completed property sales across Great Britain; it also stated that monthly rises in house values were registered all around UK with the most significant increases in Wales (3.1%, which compares to 1.1% in June 2009). However, the average price of a house in Wales is still 8.3% lower than last year and stays at the level of £123,122. Wales is followed by England, where house prices in the north-east areas rose by 2.3%; unfortunately, this region has the sharpest difference of 13.2% in year-to-year house values with an average house asking price of £109,776. As for London, Land Registry figures show that house prices in the capital rose by 1.6% in July 2009 leaving an average London house priced at £306,963 (almost double the price of a national average); yet, the year-to-year difference is still at a high level of 10.2%. The figures for July 2009, presented by the Land Registry do not significantly differ from those for August, revealed by Nationwide on August 27th. Nationwide data suggest UK house prices saw an increase of 1.6% this month. Nationwide’s report also suggests that rise in house values were caused by lack of properties on the market rather than by increased buyers’ activity.