‘Astonishing’ Boom in House Prices in the North West
While the ONS statistics offer the most comprehensive analysis of house prices, they also run on a significant lag compared to other indexes.
More recent figures from other sources suggest that house growth has now begun to slow in certain property groups, impacted by the end of the stamp duty holiday.
Official figures revealed by the ONS this month reported the average house price across the UK rose by an eye-watering £31,000 in the year to June which was the fastest annual increase since 2004.
Growth in North West ‘frankly astonishing’
In June, the ONS figures suggested that the average house prices increased over the year in England to £284,000 (13.3 per cent), in Wales to £195,000 (16.7 per cent), in Scotland to £174,000 (12.0 per cent) and in Northern Ireland to £153,000 (9.0 per cent).
London continued to be the region with the lowest annual growth (6.3 per cent) for the seventh consecutive month.
However, prices there were still the highest in the UK, at a record high of £510,000.
The North West was the region with the highest annual house price growth, with average prices increasing by 18.6 per cent in the year to June 2021. This was up from 14.2 per cent in May 2021.
House Prices Per Region ONS
Lucy Pendleton, property expert at independent estate agents James Pendleton, described this growth as ‘frankly astonishing’.
‘Prices went berserk as the stamp duty taper closed in.
She also raised a question mark over whether buyers actually saved money using the stamp duty holiday, as the tax reduction was likely cancelled out by the astronomical price rises.
‘Scenes like this are only possible in those areas starting from a lower base, and there’s a big question mark over how many of these buyers really made a saving.
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Source: ONS, this is money