House prices rise by 5.7pc

Mortgage Introducer

August 18, 2015

Price rises were driven by increases in the East (9.2%) and the South East (7.7%) of England – both areas dwarfed price inflation in London (5.3%).

Prices also rocketed by 9.0% in Northern Ireland, although they rose by just 0.8% in Wales and they fell by 0.6% in Scotland.

Stephen Smith, director of Legal & General Mortgage Club & Housing, said: “House prices rose in June as buyers flocked to the market after an end to pre-election uncertainty.

“Although this data is historic, it still shows the scale of the imbalance between supply and demand.

“Much has happened in the market since June that is likely to stimulate more demand, such as hints at a rate rise from the Monetary Policy Committee.”

Peter Rollings, chief executive of London-estate agents Marsh & Parsons, said: “Price rises in London continue to be overpowered by the East and South East for the moment, but there’s a different mix of ingredients now at work in the capital.

“Costlier property taxes at the highest rungs of the market have forced London off the boil, and dampened the appetite in the market momentarily.”

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