Annual growth for houses in England and Wales is 11.3%
During November, house prices in England and Wales grew by 0.8 per cent, with values rising across all regions, taking the average price to £280,733.This is according to the latest LSL Property Services/Acadata House Price Index, which also reveals that annual growth accelerated to 11.3 per cent, which is the strongest rate seen in almost a decade.However, growth has been skewed by that seen in London and the south-east, with the rate dropping to 5.7 per cent when these areas are excluded. The performance of these regions has seen the average price of a house exceed £280,000 for the first time, but completed house sales have been squeezed a slow supply.David Newnes, director of Reeds Rains and Your Move estate agents, explained that after a temporary hiatus in the uppermost tiers of the property market, growth has rallied again in London, with the value in prime spots such as Kensington and Chelsea, and Hammersmith and Fulham climbing rapidly by 5.3 per cent during the course of November.He added: "Overall, average house prices in London are now 1.9 per cent higher than in September, rebounding back from a more moderate 0.8 per cent increase the previous month, and driving annual price rises to 19.7 per cent in the year to October 2014."However, after a robust advance in activity throughout 2014, completed house sales withdrew during November, despite reaching highs in October. House sale completions dropped last month, falling to a level below the lows seen in 2013."This doesn’t undermine the strength and stability of the growth in activity experienced over the year as a whole in some locations. For instance, completions have jumped 58 per cent in Slough in the last year, propelling an 18.5 per cent increase in average house prices in the area over this time," Mr Newnes explained.He believes the changes to the Stamp Duty should also allow activity to expand further, with the upfront barriers to purchasing a new home removed for buyers, which also means sellers experience weightier demand.
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