It is sure to fuel even more concerns that the capital city is heading for a property price bubble but the data from haart estate agents also suggests that the growth is spreading across the country.
It means that the average price of a property in London is now £473,500 while in the rest of the country it is £195,511.
The data also shows how much more a first time buyer is having to pay. Those buying their new home face paying 9.8% more than a year ago but this is not putting them off as first time buyer registrations across the UK are up 44.2% compared to a year ago.
On a monthly basis average UK house prices increased 2% in March compared with February and in London by 2.5%. On a monthly basis first time buyer prices are up 0.8%.
Spring has prompted renewed interest with new buyers registering jumping 18.7% month on month in March and first time buyers up 17.3%.
‘London is now a country of its own in property market terms with average house prices in the capital up 29.5% on last year,’ said Paul Smith, chief executive officer of haart.
He also pointed out that foreign buyers are also still increasing. ‘People know that there is no more lucrative place in the world to invest your money and see outstanding returns,’ he added.
According to Smith it is good news that property market growth is spreading across the country and explained that demand and supply remain imbalanced with new properties for sale up 1.8% annually and new buyer registrations up 24.5% annually.
He also pointed to a new trend in terms of open house events which are now common place. ‘We hold around 240 every weekend and it often provides the fairest forum for buyers, while achieving an excellent price for the seller,’ he added.
