Recovery in UK house prices continues to gain momentum
THE rebound in UK house prices gathered pace in September according to the Land Registry’s latest monthly report, which revealed that house prices rose 0.9 per cent on August cutting the annual decline to just 5.6 per cent.
The Land Registry’s figures are the latest evidence suggesting that UK house prices are firmly on an upward track with mortgage lenders Nationwide and Halifax both seeing monthly rises in September.
As expected, London is leading the way towards positive territory with house prices in the capital surging 1.3 per cent last month, while Wales experienced a monthly decline of 2.6 per cent.
Like the other housing market surveys, it appears that the Land Registry house prices are being sustained by a lack of stock. Between April and July 2009 transaction volumes averaged 48,109 transactions per month, a 19 per cent drop on September 2008.
With credit availability still poor and unemployment continuing to rise, analysts have warned that there is a chance that house prices could relapse further, even if all the surveys are currently pointing towards further rises.