UK property prices creeping upward, latest indices from Nationwide show

UK house prices increased by 0.3% in June and were 1.9% higher than a year ago with the typical UK home worth £168,941, according to the latest Nationwide index published today (Friday 28 June).

The data shows that the southern regions of England, especially London, continued to record stronger rates of house price growth and London tops the table of house price growth in the second quarter index also out today.

Overall the price of a typical house rose by 0.4% on a quarterly basis and prices were up 1.4% compared with the same quarter in 2012. Some 10 of the 13 UK regions saw annual price rises in the second quarter of 2013 and Northern Ireland is still the worst performing region.

In London prices increased up 5.2% compared with the second quarter of last year and the city has seen the greatest recovery in prices of any region with prices now 5% above their 2007 peak at £318,214.

Wales saw a softening in annual price growth from 2.5% in the first quarter of 2013 to 1.2%. Scotland continued to see price falls, with prices down 1.2% year on year. But in Northern Ireland prices were down 2.1% compared with the second quarter of 2012.

The South of England and the Midlands continued to outperform the North of England. Outside of London, East Anglia was the strongest performing region, with annual price growth of 3.6%, whilst Yorkshire and Humberside was the weakest English region, with prices down 0.8% over the year.

In the last 12 months London has seen average prices rise by 5.2% to £318,214, in East Anglia they were up 3.6% to £172,567, in the outer South East they climbed 2% to £202,132, in outer Metropolitan there was a rise of 1.9% to £253,913, in the South West they were up 1.5% to £188,923, in the East Midlands up 1.5% to £142,349, in Wales up 1.2% to £133,432, in the West Midlands up 0.8% to £148,220, in the North up 0.8% to £115,763 and in the North West up 0.3% to £135,262.

In Yorkshire and Humberside prices fell by 0.8% to £133,283, in Scotland they were down 1.2% to £134,611 and in Northern Ireland prices fell 2.1% to £108,116.

Scotland saw a 1.4% seasonally adjusted price rise in the second quarter of the year, although the annual rate of change remained negative. Although there was some regional variation with Perthshire and Stirling seeing prices up 5% on the previous year. Southern Scotland including Ayrshire, the Borders and Dumfries and Galloway, was the worst performing area, with a 6% year on year fall.

In Wales the annual growth of 1.2% was offset by a quarterly fall of 1.6%. Cardiff was the best performing area, with prices up 5% year on year. Mid and West Wales, the least expensive area, saw a 6% year on year decline.

Northern Ireland has remained in negative territory for the last 12 months, with a 2.1% annual fall in prices and a 2.7% quarterly fall. Belfast was the only area to see prices increase, with annual growth of 4%.

In London prices reached a new record high of £318,214, some 5% above their 2007 peak. Newham saw the strongest growth, with prices up 16% year on year, whilst Redbridge saw the weakest growth with a 5% year on year fall.