UK re­gions lead house prices higher

The Pak Banker - - 6BUSINESS -

UK house prices rose 1.3 per­cent in March, push­ing the av­er­age above 300,000 pounds ($435,000) for the first time, ac­cord­ing to Right­move Plc.

Av­er­age ask­ing prices in­creased 7.6 per­cent com­pared with a year ear­lier, the prop­erty-web­site op­er­a­tor said on Mon­day. That takes the in­crease over the past 10 years to 50 per­cent, more than twice the pace of earn­ings growth, ac­cord­ing to Right­move.

Chan­cel­lor of the Ex­che­quer Ge­orge Os­borne has pledged to make more land avail­able for home­build­ing amid a short­age of prop­er­ties that's fu­el­ing ram­pant price gains.

He's also try­ing to help first-time buy­ers, and last week in­tro­duced a sav­ings prod­uct that can be used to­ward a down pay­ment for a prop­erty cost­ing 450,000 pounds or less.

Gains were spread across the coun­try in March, with ask­ing prices in south­west Eng­land, the north­east and the West Mid­lands in­creas­ing by about 2.5 per­cent on the month.

In the U.K. cap­i­tal, prices stag­nated, with prices in in­ner Lon­don -- in­clud­ing wealthy ar­eas such as Kens­ing­ton -fall­ing 1.7 per­cent to 833,225 pounds on av­er­age. Outer dis­tricts rose 2.1 per­cent to 517,201 pounds as house­hunters sought more af­ford­able prop­erty.

Right­move said there's been a "surge" in the num­ber of prop­er­ties com­ing to mar­ket as well as "di­min­ished ap­petite among buy­ers to pay higher prices." The av­er­age ask­ing price in Lon­don was 644,045 pounds, up 11 per­cent from a year ear­lier.

"Lon­don is a myr­iad of dif­fer­ent lo­cal mar­kets," said Miles Ship­side, di­rec­tor at Right­move.

There is "stag­na­tion and read­just­ment in many bor­oughs that are now a shadow of the for­mer price-rise pow­er­house of the last few years."

Newspapers in English

Newspapers from Pakistan

© PressReader. All rights reserved.