View the article online at http://citywire.co.uk/money/article/a597236
House prices see 'relatively little growth', says government
UK house prices rose 1.1% in April and are up 1.4% compared to the same period last year.
UK house prices increased by 1.1% in April, according to new government figures.
In the 12 months to April, however, there was 'relatively little growth' in house prices, the Office of National Statistics said.
Prices are up 1.4% compared to April last year, but this is down to a 1.7% rise in England offsetting declines of 8.1%, 0.3% and 1.1% in Northern Ireland, Scotland and Wales, the ONS explained.
The increase in England was driven primarily by a 4.9% rise in London. Prices were also up in the South East and South West, by 2.1% and 1.6% respectively. The largest decreases, meanwhile, were recorded in the North West and Yorkshire and Humber.
Prices of new homes rose by far more – some 5.1% – over the year compared to prices of pre-owned property, which increased just 1.1%.
First time buyers, meanwhile, paid an average of 1.5% more for a property in April 2012 than last year, compared to existing owners which paid 1.4% more.
ONS also revealed that the percentage of houses purchased by first time buyers fell from 43% in March to 32% in April following the expiry of the stamp duty holiday for first time buyers on properties worth up to £250,000.
Ashley Alexander, managing director of property website MeetMyAgent.co.uk, said the ONS figures merely confirm what we already know: 'that the housing market has been rather subdued over the past 12 months'.
'Property prices have stabilised due to low transaction volumes, a short supply of stock and weak demand,' he explained. 'However, if the London property market takes its foot off the pedal even for a second, the national picture will look far less rosy'.
News sponsored by:
The Citywire guide to investment trusts
In association with Aberdeen Asset Management
What can SLI bring to the table for those who want to put their money into investment trusts?
More about this:
What others are saying
Tools from Citywire Money
From the Forums
Weekly email from The Lolly
Get simple, easy ways to make more from your money. Just enter your email address below
An error occured while subscribing your email. Please try again later.
Thank you for registering for your weekly newsletter from The Lolly.
Keep an eye out for us in your inbox, and please add firstname.lastname@example.org to your safe senders list so we don't get junked.