Land Registry reports 0.7% house price increase

Posted: 29 Jun 2007 10:59:53 GMT

The Land Registry has reported a 0.7 per cent increase in house prices for May, with the average home in England and Wales costing £180,594 according to the government agency.

The Land Registry has reported a 0.7 per cent increase in house prices for May, with the average home in England and Wales costing £180,594 according to the government agency.

Property prices have increased by 8.9 per cent over the last 12 months, according to the statistics, with London house prices in particular showing strong growth.

The average house price in the capital now stands at £335,658, the Land Registry said - far above the national average.

Commenting on the figures, Warren Bright, chief executive of PropertyFinder.com, said that the housing market still appeared strong.

"Today's data is further reassurance that the property market is still in remarkable health despite four rate rises in recent months," he said.

"The recent signs that the rate of growth was slowing were to be expected - it is difficult for any market to sustain double digit price growth over the long term.

"What is happening now is that the market is simply settling back to a more realistic level of growth underpinned by continued strong demand."

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