Here at Experience Invest, we know that the housing market took another leap forward after the recent general election, but in this blogpost we want to look back a little to March 2015. The Office of National Statistics revealed its House Price Index from March 2015 which contained analysis of the UK housing market including house price inflation and distribution of mortgage advances.
The report contains some really fascinating facts and figures for those considering the returns from property investment. It includes encouraging news for those looking at investments in London and beyond. Indeed, one of the most interesting statistics revealed that excluding London and the South East, UK house prices had increased by 8.1% in the 12 months to March 2015.
House Prices rise across the country
It wasn’t just England that saw house prices rise, according to the Office of National Statistics during the year to March 2015, average house prices increased 9.4% in England (up from 7.7 in the year to February 2015), 5.7% in Wales (up from 1.4%), 14.6% in Scotland (up from 5.3%) and 7.5% in Northern Ireland (down from 14.7%).
The figures for Scotland showed the highest increase in Scottish house prices since way back in 2007. A large proportion of the sales of houses in Scotland focussed on properties priced over £500,000. However, it should be noted that the land and buildings transaction tax replaced UK stamp duty land tax in Scotland from 1 April 2015. This could have had a small impact on the market during this time and may have helped to increase prices.
House Prices by region
We all know that property demand in London and the South is high, however, the Office of National Statistics revealed a positive picture of a rising market across all the regions. Figures in the report explained:
- The largest annual increase was in the East at 11.4%
- London had an 11.2% increase in the year to March 2015, up from 9.1%
- The South East showed an 11.2% increase in the year to March 2015, up from 8.5%
- The North West saw 6.8% growth
- South West had 6.2% growth
- West Midlands showed 7.3% growth
- East Midlands had 7.2% growth
- North East showed 4.9% growth
- Yorkshire and Humber had 4.4% growth
Average House Prices
The rise in the average house price continues unabated. The report highlighted that average mix-adjusted house price in March 2015 stood at £284,000 for England. The same figure for Wales stood at £173,000. In Northern Ireland the price was £145,000 and in Scotland the figure stood at £207,000.
As of March 2015, London continued to lead the English regions with the highest average house price, which the report revealed this was £498,000. The North East had the lowest average house price at £157,000. London, the South East and the East all had prices higher than the UK average price.
Excluding London and the South East from the mix, the overall average UK mix-adjusted house price was revealed to be £211,000.
Experience Invest Comments
Rising average house prices across the UK is encouraging news for those looking to property as a long term investment opportunity. These figures from the Office of National Statistics paint a pre-election picture which is very positive, this will have only improved further since the election.
Experience Invest have been trading since 2004 and we’ve worked with all types of investors from first timers to high-NET-worth individuals and corporate clients. As a market leaders in UK residential investments, we specialise in high demand, high yield property investments such as student accommodation, care home investments, and high income generating residential investments. For more information, or to discuss your own investments needs please contact Experience Invest.