Research by bespoke mortgage specialist, Henry Dannell, shows that the average price paid by UK homebuyers has so far increased by £18,000, from £250,249 to £268,349 - with the most impressive pounds and pence house price growth seen across the South East, where the average homeowner is now £25,747 better off than they were this time last year.
Across the East of England, the average sold price has risen from £307,274 to £332,216, an increase of £24,942, while Wales is home to the third-largest uplift with sold prices climbing by £21,165 in the last year.
While London traditionally sets the pace for property price appreciation, a more muted year for the capital’s property market means it saw the lowest rate of house price growth in percentage terms. London sold prices have increased by just 3.3% over the last year, but it’s not all bad news.
The higher price of London property means that in terms of the pounds and pence increase, the capital still ranks mid-table having enjoyed a £16,469 jump.
However, in some boroughs, this property price appreciation has been far greater. Nowhere more so than in Kensington & Chelsea where the average price paid for a property has increased by £101,171 since this time last year.
Kensington and Chelsea is followed by Hammersmith & Fulham where prices have increased by £95,522 and Richmond where they’ve seen a £85,862 rise. The City of Westminster (£75,972), City of London (£44,081), and Kingston (£41,012) have also experienced some of the strongest price growth across the capital’s property market.
That said, there are five boroughs in which house prices have fallen. The biggest decline has been seen in Tower Hamlets where prices have dropped by -£45,354 over the course of the year, followed by Hackney (-£40,779), Southwark (-£25,577), Brent (-£19,840), and Newham (-£1,277).
Geoff Garrett, Director of Henry Dannell, commented: “Not a bad day's work for the average UK homeowner, who is now £18,000 better off than this time last year where the value of their bricks and mortar investment is concerned.
"Of course, the fragmented nature of the market means that some have fared better than others and there’s no doubt that it’s been a particularly tough year for the London market due to ongoing COVID restrictions and work from home advice from the government.
"Despite this, the average price paid for a London property has still climbed by a respectable sum and this growth has been largely driven by the capital’s prime boroughs, as travel restrictions have eased, and foreign buyers have once again been able to flock to the most desirable property hotspot in the world.”
