Average asking prices in England fall, but Wales sees strong growth
Average asking prices in England and Wales fell by 0.2% in the last year but were up 2.3% in Scotland and by a strong 5.6% annually in Wales, the latest index shows.
But a breakdown of the figures from the Home.co.uk index shows that on a regional basis prices in England increased in most locations, but were down by 0.1% in the East of England, down by 0.2% in the North East and unchanged in Greater London.
This mean that the average asking price in England and Wales was £305,922, in Wales alone £207,521 and in Scotland £186,099.
The data also shows that the typical time on the market has increased considerably in some locations, most notably a rise of 38% in Greater London, a rise of 29% in the East of England and rise of 25% in the South West year on year.
Total stock levels across England and Wales increased by just 3.7% on an annual basis and the only regional supply increase was a rise of 4% in the West Midlands. All other regions showed no change or reductions in supply.
London supply dropped significantly again, down by 25% year on year and stock levels fell by 13% but the index reports suggests that this is paving the way for price recovery.
‘Negative sentiment in a growing number of regions has applied the brakes to the normally surging spring property market. Both buyers and vendors are holding back due to increased fear of price falls and the Brexit debacle,’ said Doug Shephard, director of Home.co.uk.
‘This wait and see attitude has translated into both falling supply and falling demand. Thus far these factors have had little net effect on the established pricing trends but properties are spending much longer on the market,’ he added.
He pointed out that the largest increases in marketing times are to be found in the regions where prices are undergoing a corrective phase such as London, the East of England, the South East and the South West, but large rises are now also evident in the formerly booming North West and East Midlands.
London’s annual losses have improved marginally from 3.2% to 3.1%, although the average price remains 6.9% lower than the peak set in May 2016. Asking price falls in the South East have also continued to ease to 1.7% year on year but worsened in the East of England with a year on year fall of 2.9%.