House prices see monthly rise in September

Thursday, November 12th 2009

September saw UK house prices rise by 1.2 per cent compared to the previous month, according to new figures from Communities and Local Government - although they are still 4.1 per cent lower than they were in the same month last year.

The numbers, which are based on mortgage completions in September, also indicated that the average price paid by a first-time buyer was 1.3 per cent lower than 12 months ago, while the price paid by those who had previously owned a property fell by 5.2 per cent.

According to the index, the mix-adjusted average house price in Britain was £199,303, although this figure has not yet been seasonally adjusted.

The National Association of Estate Agents commented earlier this month that demand for property is exceeding supply, narrowing the gap between asking and selling prices.

However, it noted that added demand has not led to increased sales - although 22 per cent of all property sales in October were to first-time buyers.