House price rises limited to the south
HOUSE prices in the south are now over twice as high as elsewhere in England and Wales, according to asking prices collated by Rightmove.
Asking prices in southern regions have shot up by 4.7 per cent this month, wedging an even bigger gap between housing costs in the south compared to further north.
In London alone, sellers are asking 5.2 per cent more than in September.
In regions outside the south — the north and north west, Yorkshire and Humberside, the Midlands and Wales – prices in October actually fell 0.7 per cent compared to September.
“The gulf in average asking prices is now the highest Rightmove has ever recorded, with prices in the south (£336,743) now more than double those in the north (£164,347),” the report said.
Asking prices in London have hit an all time high, according to the Rightmove data, released this morning. The average house price has spiked to a jaw-dropping £450,210.
The number of new sellers in the capital has plummeted, with weak supply and high demand pushing prices higher.
Supply is down 13.9 per cent in London this month, compared to October 2010. Throughout the year so far, the number of new sellers is down 7.9 per cent on the same period last year.
“And one of the main drivers of more buoyant conditions in the capital is the number of potential buyers who have either ready cash or the ability to raise a substantial deposit and a secure job to fund mortgage repayments,” the report said.
Lenders in London are competing to offer low rates to cash-rich house buyers, Rightmove said.
“However, the reality is that there is further evidence of the two-tier twist which is dogging the return to more widespread liquidity in the housing market,” added Rightmove director Miles Shipside.