e.surv: House prices up 10.7% in the year to June
Average house prices increased by 10.7% across England and Wales in the year to June 2021, according to e.surv Chartered Surveyors’ House Price Index.
This follows on from the previous month’s data, which revealed that house prices were up 13.4% on an annual basis.
On a monthly basis, average property prices rose by 0.8% between May and June 2021.
Overall, e.surv found that the average price of a house in England and Wales was £336,247 at the end of June.
The data also found that prices increased annually by close to 14% when excluding the capital, while the North West has seen highest rate of growth for last nine months.
Richard Sexton, director at e.surv, said: “Over the last 12 months, our index has shown the average price of a home sold in England and Wales has increased by some £32,500, or 10.7%.
“If we exclude London from this then the figure is a very considerable 14%. Nevertheless, even including the capital, this is the highest annual rate since February 2005.
“It is now 14 months since any of the areas in our index have recorded a fall in house prices, and this is while the UK economy has been under the severest pressure it has faced in living memory.
“Any slowing of price rises in the period of March to May because of the initial expected end of the stamp duty holiday has been short-lived.
“This is in part because of the extension of the holiday but also the more general optimism in the economy which has seen many transactions that were previously postponed come back online.
“Mid-April, even before the stamp duty holiday ends, the government has introduced further fiscal support in the shape of its 95% loan-to-value [LTV] mortgage guarantee scheme.
“This is giving continued support and confidence to borrowers and mortgage lenders, many of whom have re-introduced their own higher LTV lending to the market. This is good for the market and for home-movers.
“This fiscal support, combined with the UK’s monetary policy of historically low interest rates, continues to make home moves more affordable and has meant buyers can take advantage of cheaper borrowing and the savings they have made in lockdown to make their home moves.”