Home Asking Price Index, July 2011: London leading home prices lower
Asking prices across England and Wales held steady in June, while London prices fell 0.5% over three months and time on market lengthened by 13% year on year.
This is the July 2011 edition of the Home Asking Price Index, released on 12 July 2011, under the headline:
London Leading Home Prices Lower
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
- Overall the mix-adjusted average Asking Price for homes on the market in England and Wales remains unchanged since June.
- Home prices fell 0.5% in Greater London during the last 3 months.
- The number of properties reduced in price June fell slightly since May to 85,104, which is 15% more than in June 2010.
- Typical time on market has increased a further 4 days to 113 days (median) since June and is now 13% longer than in July 2010.
- Supply of new properties to market fell back ca. 8,000 to 121,941 in June, 6% less than in June 2010.
- Annual change in asking prices: -0.8%
- 6-month change in asking prices: 1.1%
Summary
Greater London, the UK's leading housing market, is displaying falling prices and a rising typical time on market. Taking the UK as a whole, rising time on market and stalled pricing indicate that this summer's price maximum has already been achieved and regional prices are now likely to follow in wake of the London market.
Price-cutting activity of property whilst on-market remains high: 15% more properties were reduced in price in June 2011 than in June 2010. Whilst these indicators show that demand is falling, it is also evident that supply of property for sale is also falling: 6% fewer properties appeared on the market in June 2011 than June 2010.
With the Bank of England's quarterly Credit Conditions Survey noting that the availability of mortgage credit in the second quarter was broadly unchanged from the previous quarter and that credit is expected to remain flat in the third quarter of 2011, asking prices may be expected to slide over the rest of 2011. Larger numbers of buy-to-let investors have been helping to stimulate mortgage demand but they do not command enough of the market to counter the slowdown in UK property sales.
Key figures
| Measure | Figure |
|---|---|
| Mix-adjusted average asking price | £227,710 |
| Annual change in asking prices | -0.8% |
| 6-month change in asking prices | 1.1% |
| Typical time on market (median) | 113 days |
| Average time on market (mean) | 204 days |
| Supply of new properties to market (June) | 121,941 |
| Properties reduced in price (June) | 85,104 |
| HAPI index for England and Wales | 97.3 |
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 July 2011, showing gains and losses since July 2010 and current typical time on
| Current average price | 12-month change | ToM (days) | |
|---|---|---|---|
| East Midlands | £173,284 | +0.9% | 117 |
| Scotland | £164,102 | +0.6% | 123 |
| East Anglia | £242,223 | -0.1% | 95 |
| South East | £285,844 | -0.3% | 86 |
| North East | £153,164 | -0.3% | 164 |
| West Midlands | £188,382 | -0.6% | 120 |
| North West | £173,849 | -0.7% | 138 |
| South West | £250,860 | -1.1% | 101 |
| Wales | £174,867 | -1.3% | 148 |
| Yorkshire and Humber | £168,612 | -1.6% | 144 |
| Greater London | £339,264 | -1.7% | 86 |
| England & Wales | £227,710 | -0.8% | 113 |
market.
Read the full July 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 July 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
Thinking about your next move?
See what your home's worth in seconds, with the UK's longest-running property data behind it.
Get an instant valuation