London house prices on the up after six months of flatlining
London’s house prices are picking up again after stalling since August, official data showed yesterday.
The average home in the capital cost £510,000 in January – up 1.6 per cent from £502,000 in December, and back up towards the £514,000 peak seen in August 2014.
Nationally, prices rose £1,000 to an average of £273,000.
Over the past year, London prices rose 12.8 per cent while UK-wide prices rose by 8.3 per cent.
Both low interest rates and the change in pension rules are expected to keep pressure on the market.
“So-called ‘Granlords’ withdrawing their annuities to fund buy-to-let investments are another party competing for the same stock of housing,” said Richard Sexton from surveyors E.Surv.
“Potential buyers are coming in from all directions to buy into a constricted supply of property on the market, and time is ticking to build more homes.”