London losing aura as house prices almost equal other cities |
|
|
Published
:
Sat, 23 Jul 2005 15:05
|
New research from the Halifax has revealed that the gap between house prices in London and the rest of the UK is at an eight-year low as the housing market has dipped this year.
In comparison, house prices in the north of England, Scotland and Wales have risen sharply in the last year and thus have accounted for the narrowing of the gap with the London market. Prices here rose sharply, by more than 40 percent.
In fact Scotland and Wales are fast emerging as 'property hotspots.' Commenting on these movements in the housing market, Halifax chief economist Martin Ellis said, "Areas outside southern England, particularly in Scotland and Wales, have experienced the most buoyant housing market conditions over the past year."
House prices in London stood at one and half times the prevailing national average as compared to two times in early 2001. In contrast the 10 towns where house prices have beaten all records are located in the South-East of England. Between April and June, the average house price in London was £238,950. This is a fall of 2.5 percent as compared to the prevailing price at the same time last year. Overall, the price compared poorly with the 3 percent rise to £162,850 across the rest of the country. The gap between London and other towns happens to be the lowest recorded since the fourth quarter of 1997.
Scotland saw five big winners with Irvine in Strathclyde topping the list after recording a 44 percent surge in the average house prices to £100,249. Port Talbot in West Glamorgan with a 43 per cent rise, Motherwell in Strathclyde with 41 per cent, Glenrothes in Fife with 39 per cent and Blackwood in Gwent with 38 per cent were the other towns to record huge increases in the house prices.
"It has been those areas where prices have, on average been lowest that have delivered the biggest gains in prices as property remained more affordable in those places," Ellis commented. House prices fell by 2 percent in Oxfordshire while Buckinghamshire, Hertfordshire and Surrey recorded a 1 percent fall.
Currently, the average house price in Britain is £162,850.
|
|
|
|
|
|
Print this Story
