Home Asking Price Index, May 2009: prices jump despite rising time on market
Average asking prices in England and Wales rose 1.1% during April while typical time on market increased to 184 days, despite annual prices falling 5.6%.
This is the May 2009 edition of the Home Asking Price Index, released on 12 May 2009, under the headline:
Prices Jump Despite Rising Time On 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 1.1% since April.
- Month-on-month average Asking Price increases observed in 8 of the 9 English regions & Wales.
- Asking Prices across England and Wales have fallen 5.6% since May 08.
- The average Asking Price reduction in March was £19,179.
- Typical Time on Market for unsold homes up 9 days to 184 days.
- Greater London house prices jump 1.7%.
Summary
Increasing interest from potential buyers and media talk of 'green shoots' has buoyed sentiment amongst sellers of UK homes. Consequently, average asking prices have risen in most parts of England since April despite the fact that the typical marketing time for homes is still rising rapidly. Rising asking prices, at a time when transaction levels are at or near record lows, do not bode well for a housing market recovery in 2009. Such over-optimism on the part of sellers will likely induce further market stagnation in the near term.
Asking prices of 52,516 homes on the market were cut in the month of April, fewer than the number of reductions recorded for March (66,316). The value of the average price cut in April also fell from March (£20,592) to £19,179.
Key figures
| Measure | Figure |
|---|---|
| Mix-adjusted average asking price | £242,309 |
| Monthly change | +1.1% |
| Annual change | -5.6% |
| Typical Time on Market | 184 days |
| Average Time on Market | 223 days |
| Price reductions in April | 52,516 |
| Price reductions in March | 66,316 |
| HAPI index | 99.3 |
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 Housing Markets
| Current average price | 6-month change | |
|---|---|---|
| South East | £275,966 | -1.1% |
| Greater London | £335,566 | -1.2% |
| East Midlands | £174,744 | -1.6% |
| South West | £255,751 | -1.8% |
| East Anglia | £247,703 | -2.2% |
| Wales | £184,753 | -2.4% |
| North West | £179,378 | -2.4% |
| North East | £160,839 | -2.5% |
| Yorkshire and Humber | £172,441 | -2.8% |
| Scotland | £169,610 | -2.9% |
| West Midlands | £188,667 | -5.4% |
Regional Asking Prices for May 2009, showing % change since Nov 2008.
Read the full May 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 May 2009 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