United Kingdom: House prices continue their upward trend, reach an over 6-year high
April 2, 2014
According to the Nationwide Building Society (NBS), home prices in the U.K. rose 0.4% over the previous month in March, marking the 15th consecutive rise. The figure was below both the 0.7% increase recorded in February and market expectations of a 0.8% increase. On an annual basis, home prices rose 9.5% (February: +9.4% year-on-year). As a result, the average house price was GBP 180,264 (March 2013: GBP 164,630), marking the highest price level since January 2008.
The NBS stated that, “record low mortgage rates, improved availability of credit and the brighter economic outlook are all leading to increased demand for housing.” However, it added that, “the upturn in the supply side of the market continues to lag far behind, with the number of new homes being built in England still around 40% below pre-crisis levels.”