Reporting strong month on month growth, properties in England and Wales are now £34,000 dearer than before the 2008 recession
The average property price in the UK is now £273,528, according to the latest house price index from Your Move and Reeds Rains.
These figures represent annual growth of 6.8 per cent, although that figure falls to 4.6 per cent if London and the South East are not included.
Both regions display consistently strong price growth, with the capital in particular boosting overall averages.
Slowing growth is good news for landlords
Adrian Gill, Director of Reeds Rains and Your Move estate agents, said that although prices are £17,340 higher than a year previously this actually marks the smallest annual increase for 14 months.
Looking at the bigger picture, earlier reports from Home.co.uk and Righmove found UK house proces had grown by 2.1 percent between this January and February with particularly strong growth noted in London and the South East - something which has now slowed.
This may allow landlords to expand their portfolios before properties become outpriced and could explain how market demand has remained strong - with recent activity witnessing a four per cent rise compared to this January.
Investors looking for buy to let and purchasing opportunities should also note that market conditions in London and the South East are calming compared to the middle of 2014; these regions boosted overall growth for England and Wales by 5.4 per cent last July but by only 2.2 per cent now.
According to Gill, particular sections of London’s property market are flourishing but the prime market is slowing due to revised Stamp Duty and the potential of a mansion tax.
“This let up of high end activity has brought down the average London house price, but beneath the surface, the lower rungs of the ladder are thriving,” he said.
He highlighted the regions of Newham, Barking and Dagenham as performing well and providing a boost for investors looking to get ahead of the main market trends.
The smallest annual increase in home values was noted in the North of England where prices were up just 1.9 per cent year on year while those in Yorkshire and the Humber stagnated. This is positive news for potential buyers who witnessed the largest start of year house price growth since 2009 just a few months ago.
“Rates of annual growth have slowed across the board in England and Wales, but it is regions with the lowest average property prices which are dragging their feet,” Gill concluded.