Home Asking Price Index, October 2017: house prices tick up despite London falls
England and Wales asking prices rose 0.4% month-on-month and 3.2% year-on-year, while Greater London prices fell for a third consecutive month.
This is the October 2017 edition of the Home Asking Price Index, released on 12 October 2017, under the headline:
House Prices Tick Up Despite London Falls
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
- Greater London prices slide for a third consecutive month, by 0.2%, pushing the year-on-year change into negative territory (-0.7%).
- However, thanks to strong regional growth, particularly in the Midlands and South West, the average price for England and Wales increased by 0.4% month-on-month and is up 3.2% year-on-year.
- The East and West Midlands together continue to lead the regional growth tables with annualised gains of 6.6% and 5.8% respectively.
- The West Midlands, North West and South West are now the most improved markets over the last 12 months as indicated by reduced Typical Time on Market figures.
- By contrast, the markets that have slowed the most over the last 12 months are the South East, London and the East of England.
- Typical Time on Market for England and Wales rises by two days to 89 days, two days less than in Oct 2016.
- The total number of properties on the market in England and Wales remains down by 3% year-on-year (YoY).
Summary
For the time being, strong regional market performances outside of London and the South East are supporting the national average growth figures. Growth in the Midlands is strong but not as ludicrous as was observed in Greater London back in 2014, with prices soaring by up to 20% year-on-year. For now, the rises look sustainable with prices increasing a few percentage points over and above the rate of inflation.
However, the drag effect of a weak London market means that the national average growth figure (3.2% YoY) weighs in at less than the rate of inflation as measured by the ONS (RPI ex housing) of 4.5%.
Meanwhile, the North West and Yorkshire continue to gain additional momentum and this will help boost the headline numbers going forward. The North East and Wales show improved confidence too, both displaying increased momentum but improvements are cautious and incremental thus far.
Key figures
| Measure | Figure |
|---|---|
| Average asking price (England & Wales) | £307,424 |
| Monthly change (England & Wales) | 0.4% |
| Annual change (England & Wales) | 3.2% |
| Typical Time on Market (England & Wales) | 89 days |
| Change in unsold stock (England & Wales, YoY) | -3% |
Figures are for England and Wales unless the report states otherwise, as published in the edition.
Charts from the report
Source: Home.co.uk, October 2017
Source: Home.co.uk, October 2017
Source: Home.co.uk, October 2017
Source: Home.co.uk, October 2017
Source: Home.co.uk, October 2017
Source: Home.co.uk, October 2017. Note: Average = Mean (days), Typical = Median (days)
Regional tables
UK Asking Prices, Oct-17
| Region | Average Asking Price | Monthly % change | Annual % change |
|---|---|---|---|
| Scotland | £183,927 | -0.1% | 3.0% |
| North East | £157,722 | 0.2% | 1.4% |
| Yorks & The Humber | £189,535 | 0.3% | 4.5% |
| England & Wales | £307,424 | 0.4% | 3.2% |
| North West | £195,214 | 0.7% | 4.5% |
| West Midlands | £238,829 | 1.0% | 5.8% |
| East Midlands | £225,258 | 0.9% | 6.6% |
| East | £361,073 | 0.7% | 5.3% |
| Wales | £192,133 | 0.1% | 2.9% |
| Greater London | £535,117 | -0.2% | -0.7% |
| South East | £407,550 | 0.4% | 3.2% |
| South West | £324,739 | 1.0% | 5.0% |
UK Time on Market, Oct-17
| Region | Average Time on Market | Typical Time on Market | Annual % supply change |
|---|---|---|---|
| Scotland | 226 | 105 | -2% |
| North East | 232 | 117 | 0% |
| Yorks & The Humber | 175 | 96 | -4% |
| England & Wales | 156 | 89 | 3% |
| North West | 177 | 98 | -4% |
| West Midlands | 140 | 78 | 3% |
| East Midlands | 133 | 76 | 3% |
| East | 110 | 69 | 11% |
| Wales | 231 | 124 | -13% |
| Greater London | 136 | 84 | 10% |
| South East | 116 | 74 | 9% |
| South West | 139 | 78 | 8% |
From the director's commentary
"In fact, 'uncertainty' seems to be the word of the moment! But despite this and talk of raising interest rates, the UK property market is showing remarkable robustness and looks set to continue to do so for the immediate future."
Doug Shephard, Director at Home.co.uk
Read the full October 2017 edition (PDF, 6 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 October 2017 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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