Home Asking Price Index, December 2011: north-South divide widens
Asking prices in England and Wales fell 0.4% in November, yet the annual change turned positive at 0.2% while the North-South divide continued to widen.
This is the December 2011 edition of the Home Asking Price Index, released on 12 December 2011, under the headline:
North-South Divide Widens
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
- Asking prices for homes on the market in England and Wales have fallen 0.4% since November, in line with seasonal expectations.
- 62,475 sellers cut their asking prices in November: 13% more than in November 2010.
- Homes in the North East spend 88% longer on the market than in Greater London.
- Typical time on market has risen further to 138 days: 3 days longer than in December 2010.
- 88,212 homes for sale entered the UK market in November: 21% more than in November 2010.
- Annual change in asking prices: +0.2%
- 6-month change: -0.3%
Summary
The seasonal slowdown in the UK property market continues. Whilst home asking prices are marginally higher than last December, the supply of homes for sale has increased significantly. During the most part of 2011 the reduced supply of homes for sale served to support prices and this worrying new development coupled with a surge in price-cutting by frustrated sellers suggests a more negative outlook for 2012. Marketing times for homes are already higher than they were 12 months ago.
For the Northern regions, home market conditions are considerably worse than the national figures may suggest. In the North East, for example, homes spend 90 days longer on the market than in Greater London. Moreover the situation is getting much worse. Home prices fell 1.2% in the North East during the last quarter, whilst prices rose 0.9% in Greater London over the same period.
Key figures
| Measure | Figure |
|---|---|
| Average asking price (England & Wales) | £228,047 |
| Monthly change | -0.4% |
| Annual change | +0.2% |
| 6-month change | -0.3% |
| Typical Time on Market | 138 days |
| Sellers cutting asking prices | 62,475 |
| New homes entering market | 88,212 |
Figures are for England and Wales unless the report states otherwise, as published in the edition.
Charts from the report
Laspeyres Index based on Weighted Arithmetic Mean of Weighted Arithmetic Mean of Regional House Prices. [May04 = 100]
Laspeyres Indices based on Weighted Arithmetic Mean of Regional House Prices [May04 = 100]
Laspeyres Index based on Weighted Arithmetic Mean of Regional House Prices [May04 = 100]
Laspeyres Index based on Weighted Arithmetic Mean of Regional House Prices [May04 = 100]
Laspeyres Index based on Weighted Arithmetic Mean of Regional House Prices [May04 = 100]
Source: HM Land Registry
Regional tables
Regional asking prices for December 2011, showing gains and losses since September 2011 and current
| Current average price | 3-month change | ToM (days) | |
|---|---|---|---|
| Greater London | £342,155 | +0.9% | 102 |
| South East | £286,134 | +0.4% | 105 |
| South West | £250,078 | +0.1% | 124 |
| East Anglia | £241,654 | -0.3% | 115 |
| North West | £172,345 | -0.6% | 162 |
| West Midlands | £186,662 | -0.8% | 140 |
| East Midlands | £171,935 | -0.5% | 143 |
| Wales | £172,800 | -1.2% | 177 |
| Yorkshire and Humber | £166,293 | -1.2% | 170 |
| North East | £151,039 | -1.2% | 192 |
| Scotland | £159,160 | -1.9% | 154 |
| England & Wales | £228,047 | -0.1% | 138 |
typical time on market.
Read the full December 2011 edition (PDF, 12 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 December 2011 edition as published, with punctuation normalised for the web, and are not revised. Later editions may restate them.
More in What is happening to house prices: the Home guide
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