Average house price in England could reach close to £1 million by 2037
Residential property prices in England could average over £300,000 in the next decade if they rise as much as they have in the last 10 years, new research shows.
In London they would rise to over £800,000 and in the South East of England the average would be over £445,000, according to the study from online estate agent eMoov.
The report says that in the last 10 years prices in England have increased by 29% and the same rise between now and 2027 would take the average house value to £301,864. In London they would rise 80% to £866,719 and in the South East a rise of 43% to £445.159.
In other regions the rise would not be as much. For example in the North West prices would rise to just £158,131 and in the East and West Midlands it would be £205,870 and £183,883.
But in the North East prices have fallen in the last 10 years and if the same happened in the next decade it would take average prices to £121,699 from £126,989 currently.
Looking over the last 20 years the average house price in England has increased by 320% and if that were to be the same then average property prices would rise to £983,826 while in London there would be a 480% rise to £2,792,783.
According to Russell Quirk, chief executive officer of eMoov, the figures highlight the near impossible task faced by the next generation of aspirational buyers.
‘The property boom in several regions of England has made it increasingly more expensive to get on the ladder and the figures anticipating the next two decades only further attest to the importance of investing in a home as soon as possible if the trend in increasing property values is to persist,’ he said.
‘It is stomach churning to think that should prices continue the way they are, there will be just one real area of property affordability left across England in 20 years’ time, with the average house price in England approaching the £1 million mark and three regions tipping beyond this,’ he added.