House prices in the UK climbed 0.4 per cent month-on-month in March 2014, a slight moderation from the 0.7 per cent recorded in Februayr, but annual growth remains robust. The average house price is now £180,264, 9.5 per cent higher than March 2013. This is the 15th successive monthly increase in prices, as the housing recovery spreads across the UK.
Indeed, for the third quarter in a row all 13 regions saw annual house price
growth in Q1 2014, driven by the severe housing shortage.
“Record low mortgage rates, improved availability of credit and the brighter economic outlook are all leading to increased demand for housing. However, 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 (and this was already insufficient to keep up with the increase in the number of households being formed),” comments Robert Gardner, Nationwide’s Chief Economist.
Source: The Movechannel