Home Asking Price Index, April 2013: London home prices go stratospheric
Greater London asking prices rose 1.3% in April, lifting the annual increase to 7.3%, while nationwide asking prices rose 0.8% for a third consecutive month.
This is the April 2013 edition of the Home Asking Price Index, released on 12 April 2013, under the headline:
London Home Prices Go Stratospheric
The headlines and summary below are the report's own words, with the key figures as it published them, followed by the report's charts and regional tables as printed.
Headlines
- Home prices in Greater London leap 1.3% this month, pushing the 12-month change up to a blistering 7.3%
- Asking prices post a further nationwide rise of 0.8%; a third consecutive monthly rise
- Supply of new property being placed on the market down 7.6% year-on-year
- Every region of England, Scotland and Wales report month-on-month price growth
- Average price for England and Wales up by 3% over the past 12 months
Summary
Despite the poor weather, the UK property market has surged ahead in the first few months of 2013. Asking prices are up 2.0% on January alone but with only 117,000 new sales properties entering the market last month, buyers have even fewer properties to choose from. Supply of property for sale is down 7.6% year-on-year and this shortage will only serve to push prices higher. Optimism has been further buoyed by reports of an increase in new buyer enquiries and Government support for mortgage lending and the wider housing market.
Whilst every region of England, Wales and Scotland reported price growth this month, their relative performance varies considerably. The rises across the regions range from just 0.1% in the North East to 1.3% in Greater London. The London property market continues to lead the nation in all the key metrics. Home prices in the capital are going stratospheric (up 7.3% on last year), the time on market for unsold property continues to fall (median now 75 days) and prices look set to go much higher as the volume of new property being placed on the market is down 19% year-on-year.
Key figures
| Measure | Figure |
|---|---|
| Average asking price (England & Wales) | £237,067 |
| Monthly change (England & Wales) | 0.8% |
| Annual change (England & Wales) | 3.0% |
| Supply of new property, year-on-year | -7.6% |
| New sales properties entering market | 117,000 |
| Asking prices, since January | +2.0% |
| Price reductions, year-on-year | -17% |
Figures are for England and Wales unless the report states otherwise, as published in the edition.
Charts from the report
Source: Home.co.uk, April 2013
Source: Home.co.uk, April 2013
Regional tables
UK Asking Prices, Apr-13
| Region | Average Asking Price | Monthly % change | Annual % change |
|---|---|---|---|
| Scotland | £160,579 | 0.6% | 0.6% |
| North East | £152,523 | 0.1% | 0.3% |
| Yorks & The Humber | £169,140 | 0.6% | 0.8% |
| England & Wales | £237,067 | 0.8% | 3.0% |
| North West | £171,856 | 0.5% | -0.9% |
| West Midlands | £191,481 | 0.9% | 1.8% |
| East Midlands | £177,205 | 1.1% | 2.1% |
| East | £252,881 | 0.5% | 3.0% |
| Wales | £175,405 | 0.6% | 1.5% |
| Greater London | £372,984 | 1.3% | 7.3% |
| South East | £302,491 | 0.9% | 3.2% |
| South West | £258,250 | 0.9% | 2.2% |
Table 1: Annual Price Change by Region & Average Monthly Change in Home Equity Value
| Rank | Region | Average Annual Asking Price Change (%) | Average Monthly Change in Equity Value |
|---|---|---|---|
| 1 | Greater London | 7.3% | £2,124 |
| 2 | South East | 3.2% | £772 |
| 3 | East | 3.0% | £607 |
| 4 | South West | 2.2% | £466 |
| 5 | East Midlands | 2.1% | £298 |
| 6 | West Midlands | 1.8% | £285 |
| 7 | Wales | 1.5% | £221 |
| 8 | Yorks & The Humber | 0.8% | £111 |
| 9 | Scotland | 0.6% | £82 |
| 10 | North East | 0.3% | £34 |
| 11 | North West | -0.9% | -£133 |
From the director's commentary
"Such rises in property values reflect the insatiable demand for property in the capital and with supply so limited prices look set to soar even higher this year. Supply is likely to remain low as London homeowners hang onto their highly appreciating property assets."
Doug Shephard, director at Home.co.uk
Read the full April 2013 edition (PDF, 5 pages)
About the Home Asking Price Index
The Home Asking Price Index measures the change in the prices sellers ask for residential property across England, Wales and Scotland. Today it is computed every month from around half a million advertised homes and is mix-adjusted, so a change in what happens to be on the market does not move the figure; earlier editions state the sample they were built from. Because an asking price is set months before a sale completes, the index runs around five months ahead of completed-sale measures such as the UK House Price Index.
Every edition in the archive, back to October 2006, is listed on the index page. How we measure the UK property market explains the listing data behind it, and today's figures by area are on house prices and rental prices.
Text and figures above are quoted from the April 2013 edition as published, with punctuation normalised for the web, and are not revised. Later editions may restate them.
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