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UK property prices up 2.7% in last 12 months to similar levels as mid 2008

This is up from the 1.9% increase recorded in the 12 months to February 2013 and prices are stable across most of the country. The average UK mix-adjusted house price in March 2013 was £235,000.

Price levels are now at similar levels to the middle of 2008 but remain below the peak of January 2008.

But the figures also show that there are considerable regional variations with prices rising the most in London and still falling in Northern Ireland and Scotland.

The national year on year increase reflected growth of 3% in England and 1.2% in Wales, but this was offset by declines of 1.7% in Scotland and 2% in Northern Ireland. Prices in Northern Ireland have now been falling since 2008.

Annual house price increases in England were driven by a 7.6% rise in London and there was a 3.3% increase in the South East and a 2.8% rise in the East of England. Average house prices decreased 1.3% in Yorkshire and the Humber and were unchanged in the North West.

Excluding London and the South East, UK house prices increased by 0.6% in the 12 months to March 2013. On a seasonally adjusted basis, UK house prices increased by 0.4% between February and March 2013.

The data also shows that average mix adjusted house prices in March 2013 stood at £244,000 in England, £157,000 in Wales, £130,000 in Northern Ireland and £178,000 in Scotland. London continues to be the English region with the highest average house price at £398,000. The North East had the lowest average house price at £144,000.

London, the South East and the East of England all had prices higher than the UK average price of £235,000. Excluding London and the South East, the average UK mix-adjusted house price was £187,000.

The average price for properties bought by first time buyers increased by 1.3% over the year to March 2013, down from an increase of 1.6% in February 2013. During March 2013 the average price paid for a house by a first-time buyer was £175,000.

The average price for properties bought by former owner occupiers (existing owners) increased by 3.2% in the year to March 2013, up from an increase of 2% in February 2013. In March 2013, the average price paid for a house by a former owner occupier was £270,000.

During the year to March 2013 prices paid for new dwellings increased by 1% on average, compared with a decrease of 0.3% in the year to February 2013. The average UK house price for new dwellings in March 2013 was £230,000.

During the year to March 2013 prices paid for pre-owned dwellings increased by 2.8% on average, compared with an increase of 2% in the year to February 2013. The average UK house price for pre-owned dwellings in March 2013 was £235,000.

Despite the regional variations the industry regards the figures as being positive. ‘The UK’s housing market is showing signs of growing stronger, boosted by greater consumer confidence in the market and wider economic recovery in Britain,’ said David Newnes, director of LSL Property Services, owners of Your Move and Reeds Rains.

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