Home Asking Price Index, July 2009: sellers more hopeful despite weak market
Asking prices in England and Wales rose 0.3% in June but remained 4.8% lower than a year earlier, as sellers cut prices by £18,270 on average.
This is the July 2009 edition of the Home Asking Price Index, released on 13 July 2009, under the headline:
Sellers More Hopeful Despite Weak Market
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
- The mix-adjusted average Asking Price for homes on the market in England and Wales has risen by 0.3% since June.
- Typical Time on Market up 2 days to 131 days since June.
- Month-on-month average Asking Price increases observed in 5 of the 9 English regions, but falls in Wales and Scotland.
- Asking Prices across England and Wales have fallen 4.8% since July 08.
- The average Asking Price reduction in June was £18,270.
Summary
Despite regaining considerable buyer interest the UK housing market remains relatively weak and sluggish when compared to 2007. Both typical and average Time on Market indicators increased this month showing that the Spring bounce in market sentiment is fragile and dependent on limited numbers of cash buyers or those with a large deposit. Asking prices have been edging up overall as sellers regain some confidence, although, unless the supply of mortgage credit improves, these gains may be unjustified and easily lost in the latter part of the year.
Asking prices of 50,842 homes on the market were cut in the month of June, less than the number of reductions recorded for May (54,069). The value of the average price cut in June also fell from May (£19,623) to £18,270.
Since July 2008 asking prices have fallen in all English regions, Scotland and Wales. In England and Wales the mix-adjusted average asking price fell 4.8% over the same period, while the Scottish mix-adjusted average asking price fell 8.2%.
Key figures
| Measure | Figure |
|---|---|
| Mix-adjusted average asking price | £242,612 |
| Monthly change | +0.3% |
| Annual change | -4.8% |
| Typical Time on Market | 131 days |
| Average Time on Market | 212 days |
| Number of price reductions in June | 50,842 |
| HAPI index (May 2004=100) | 99.5 |
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 Housing Markets
| Current average price | 12-month change | |
|---|---|---|
| North East | £161,561 | -2.9% |
| South West | £256,780 | -3.3% |
| South East | £276,569 | -3.6% |
| West Midlands | £196,018 | -3.8% |
| North West | £179,937 | -4.6% |
| Yorkshire and Humber | £172,069 | -4.7% |
| Wales | £183,718 | -4.8% |
| Greater London | £333,518 | -5.5% |
| East Midlands | £173,526 | -6.9% |
| East Anglia | £245,110 | -7.3% |
| Scotland | £164,681 | -8.2% |
Regional Asking Prices for July 2009, showing % change since July 2008.
Read the full July 2009 edition (PDF, 10 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 July 2009 edition as published, with punctuation normalised for the web, and are not revised. Later editions may restate them.
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