Tag Archives: london
London saw massive 16.3% rise in house prices in 2014, official data shows
Average house prices in England and Wales grew by 7% in 2014 with London seeing a rise of 16.3%, the latest land registry figures show. They increased 0.6% in December compared with the previous month, taking the average price to £177,766, not far from the peak of £181,138 in November 2007. London also experienced the greatest monthly rise with an average increase of 1.8%, taking the average price in the city to £464,936. The North West saw the lowest annual price growth of 1.5% and also saw the most significant monthly price fall of 1.6%. The most up to date figures available show that during October 2014 the number of completed house sales in England and Wales increased by 4% to 80,158 compared with 77,371 in October 2013. The number of properties sold in England and Wales for over £1 million in October 2014 increased by 15% to 1,132 from 984 in October 2013. The land registry data also shows that repossession volumes decreased by 37% in October 2014 to 796 compared with 1,260 in October 2013. The region with the greatest fall in repossession sales in October 2014 was the South East. According to Graham Davidson, managing director of Sequre Property Investment, the 0.6% increase in December compared to the previous month, was a surprise and is a trend which his firm does not expect to continue. ‘This increase is possibly due to a hive of buyer activity during September and October, and has resulted in the purchase prices being pushed up. In addition to the house price increase, an annual rise of 16.3% in London illustrates that the capital still remains a difficult market for property investors,’ he explained. He believes that London and the South East remain relatively unaffordable to all but the wealthiest buyers. ‘This is causing more to look to areas such as the North of England, where property remains affordable. The North West has taken a dip of 1.6% in December, which signifies the North’s affordability and higher yielding opportunities for investors,’ said Davidson. ‘Repossessions have also continued to fall, demonstrating how improving employment rates and a slow in the rate of inflation is creating a more sustainable and stable environment for home owners,’ he added. Adrian Gill, director of Reeds Rains and Your Move estate agents, said that the figures demonstrate that house price growth has ploughed forward solidly to the very end of 2014. 'The real variation is in how growth is spread so unevenly across the country, and in many regions property prices are stuck in a rut or even sliding backwards,' he commented. 'But December is the close of one chapter, and shouldn’t be viewed as a prologue to the coming year. Aspiring buyers are equipped with all the tools they need to climb onto the housing ladder and secure great deals on homes. Demand at the bottom of the market continues to… Continue reading
UK property tax reform boosts middle market, agents data suggests
Stamp duty reforms in the UK announced at the start of December 2014 helped to boost the middle market and encourage prospective home buyers, according to the latest National Association of Estate Agents (NAEA) Housing Market Report. NAEA member agents recorded the highest level of registered home buyers per branch in December for 10 years, while agents reported they saw a rise in the number of properties sold in the bands of up to £250,000, and £251,000 to £925,000. The data shows that the number of house buyers registered in December was on average 360 per branch, the highest level for this time of the year recorded in the last 10 years. The last time the number of house buyers registered per NAEA member branch was this high for December was in December 2004, in which 360 house hunters were similarly recorded. The NAEA says that the seasonally high figures suggest the changes made to stamp duty announced in December helped to encourage prospective buyers in a typically quieter month for the housing market. In addition, NAEA member agents reported some positive movement in the middle market, with 19% saying that they saw an increase of sales of properties in the £251,000 to £925,000 band, while 11% saw an increase in sales of properties up to £250,000. ‘Reforms to stamp duty was one change that NAEA members predicted would influence the market this year, and from our latest housing market survey it seems that we are starting to see the initial impact of these changes,’ said Mark Hayward, NAEA managing director. ‘December is typically a quieter month for the property market however it would seem prospective home buyers have been left feeling encouraged, while agents have also reported activity in the middle price mark picking up. The changes are obviously in the beginning stages of giving the market the boost it needs, making buying more affordable for many,’ he explained. The NAEA said that another promising sign was the slight increase in percentage of sales made by first time buyers in December. NAEA member agents reported the percentage of sales made by first time buyers increased from 24% of total sales in November 2014 to 26% in December. Out of those sales made by first time buyers in the month, almost half, 48%, were aged 18 to 30, suggesting a higher proportion of younger first time buyers had been encouraged onto the market than the previous month when just 38% of sales were made by first time buyers aged 18 to 30. However, the property market shouldn’t get too ahead of itself just yet, the association warns. While there was uplift in the percentage of sales made to first time buyers and a seasonally high number of eager house hunters on books, the number of houses available for sale on NAEA member agents’ books in December did not… Continue reading
Massive London regeneration plan to include 24,000 new homes
One of the largest regeneration schemes in London for decades has taken a further step forward and received the seal of approval from the UK government, it has been announced. The Mayor of London, Boris Johnson, intends to establish a Mayoral Development Corporation to lead the transformation of Old Oak Common in West London and create a brand new part of the city with up to 24,000 homes. Now the Secretary of State for Communities and Local Government, Eric Pickles, has confirmed that he supports these plans and an Order has been laid before Parliament to create the new body, which will be known as the Old Oak and Park Royal Development Corporation (OPDC). Subject to parliamentary approval, the new corporation will come into existence on 01 April 2015 and the Order will be followed by a similar piece of legislation to give the OPDC planning powers. A vast High Speed 2 (HS2) and Crossrail Station is due to be constructed at Old Oak Common by 2026. The new station will be the size of Waterloo, handling 250,000 passengers a day and acting as a super hub between London and the rest of the UK, Europe and the world. Johnson said that this represents an opportunity to bring unprecedented regeneration to the area and he believes that the OPDC is the best way to unlock the enormous potential of the site and deliver a £15 billion boost to London's economy over 30 years. The Corporation will act as a single, transparent and robust body to spearhead the regeneration of the 950 hectare site that straddles the London boroughs of Hammersmith and Fulham, Brent and Ealing ‘The vast new station at Old Oak Common presents us with an almost unprecedented opportunity to transform an area the size of a small London borough into a thriving new part of the capital, with unrivalled transport links to central London, the rest of the country and beyond,’ Johnson said. ‘London will shortly become home to more people than ever before and there is no doubt that this scheme will provide a real shot in the arm as we look to provide the new homes and jobs that we desperately need,’ he added. Pickles said house building is a key part of the Government's long term economic plan. ‘This deal will create a whole new community in West London, delivering up to 24,000 new homes and over 50,000 new jobs, with excellent transport links both into the capital and across the country. This is on top of the efforts we've made to get the country building again, which has helped deliver over 141,000 homes in London since the end of 2009,’ he added. The OPDC will look to emulate the success of the London Legacy Development Corporation that continues to lead the post-Olympic regeneration of Stratford and East London. The Mayor's Office believes that the regeneration opportunity could provide almost 14% of Greater London's employment needs up to… Continue reading
