GETTY House outlays hit a new record high of £202,436 in April
Property values edged up by 0.2 per cent month-on-month across the UK and by 4.9 per cent annually as buy-to-let investors harum-scarum to beat higher stamp duty bills fuelled a surge in carry and buying.
The demand for smaller one or two bedroom homes to rent out allowed some sellers to hike their praying prices to trade upwards, thereby pushing up house prices higher up the assets ladder.
However, house price growth has slowed down a little com red with March, when property values increased by 0.7 per cent month on month and by 5.7 per cent annually, the Nationwide Edifice Society reported.
The Society’s chief economist Robert Gardner chance: “It may be that the surge in house purchase activity resulting from the three per cent advance in stamp duty on second homes from April 1 provided a stand-by boost to prices in March.
GETTY Property values edged up by 0.2 per cent month-on-month across the UK
“Respect, it is possible that the recent ttern of strong employment growth, take-off provoking real earnings, low borrowing costs and constrained supply will meeting the demand/supply balance in favour of sellers and exert upward power on price growth once again in the quarters ahead.”
A large percentage of the boost to house purchase activity also came from readies buyers.
Mr Gardener added: “Cash purchasers have become a innumerable significant rt of the market since the financial crisis, accounting for wide 35 per cent of all transactions since 2008, com red with for everyone 25 per cent in 2006/7.
“Cash investors would have also been heartier placed to buy properties in the relatively short period of time between the colophon duty announcement at the November Autumn Statement and the implementation on April 1.”
GETTY The enumerates were released by Britain’s biggest building society, Nationwide
Another set of idiosyncrasy figures from the land Registry showed values in all the regions in England and Wales at a distance from London and the East edging down in March, according to new details from the Land Registry, considered by industry experts to be the most with an eye to of all the house price indices.
Overall house prices in England and Wales hew down 0.5 per cent in March, taking the average id price to £189,901.
The biggest drop was in Yorkshire and Humberside (2.6 per cent), with a two per cent dip in the West Midlands and 1.2 per cent in the North East.
Howard Slier, chief UK and European economist at IHS Global Insight, said: “Current increased home, economic and political uncertainties could be reining in housing market interest, especially in the run-up to June’s EU referendum.
“Consequently, house prices may in fine be softer for the next few months. Nevertheless, we still expect house penalties to post relatively solid increases over 2016 as a whole – right by around five per cent on the Nationwide measure – with support distributed from a relative shortage of properties as well as decent buyer responsive to.”
The Land Registry data also revealed a fall in the number of ended house sales in England and Wales in January fell by five per cent to 54,254 com red with 56,937 in January 2015.
GETTY The handful of house sales in England and Wales in January fell by five per cent to 54,254
Jeremy Leaf, earlier chairman of the Royal Institute of Chartered Surveyors, said: “A decline in number of attribute transactions continues to be a worry, as if people aren’t able to move in and out of the make available when they want to, there will be an inevitable knock-on ca city for the rest of the economy. On the ground we want to see more balance between fill and demand.”
Mr Gardner warned there is a risk that the recent charge of investors and residential buyers snapping up properties will make obtaining shortages of homes on the market worse.
He pointed to Rics figures illustrating the number of properties on estate agents’ books was already close to all-time lows, according to details going back to the late 1970s.