London still propping up the UK housing market

ONS survey shows wild variations despite overall market stabilty

November 14, 2012

National house price surveys hide growing disparities between regions. The latest housing survey from the Office of National Statistics (ONS) shows that house prices in London have continued to rise sharply over the twelve months to September 2012. The 5.2% jump in the capital was not matched anywhere else, with the North East coming a distant second with just 2.4% growth. For the rest of the UK house prices are either, flatlining or going into sharp decline. The house price crash in Northern Ireland has continued with a massive 10.1% of values being wiped off in the last year.

However, these wildly differing experiences translate into a steady 1.7% growth for the UK as a whole down slightly from August’s 1.9% increase. This trend is expected to continue. Ian Perry, spokesman for RICS said: “The number of potential buyers going out and viewing property saw a welcome boost last month. That being said, overall activity is still very low in most parts of the country and what the market desperately needs is for this to translate into actual sales.”