House Prices On The Up In London

House Prices

When house prices prove prohibitively high for people to move, they can instead opt to revamp their current homes. With the help of architectural firms in London, homeowners can adapt their houses or flats to suit their changing needs.

For example, they could use an architect in London to create an extension in order to boost their living space, or they could remodel the interior of their buildings so they better suit their requirements.

Demand for architecture design in London may rise over the coming months due to conditions in the capital’s housing market. Figures released by reveal that real estate prices are on the up.

According to the firm, residential property prices across the UK as a whole are increasing and London is leading the way. Asking prices in the capital rose by two per cent in October compared with the previous month and now stand a full 12 per cent higher than they did during the same period last year.

Meanwhile, prices in England and Wales are now 5.5 per cent up on last year. The north-east and north-west of England and Scotland were the only places where gains were not recorded.

Following London, the south-east recorded the most significant price increases. Here, prices climbed by an average of seven per cent.

The property price rises may at least in part be caused by a shortage of supply. revealed that the supply of property for sale across England and Wales is down by nearly a fifth (18 per cent) from last year. Meanwhile, stock in London is particularly limited. This has fallen by 31 per cent compared with last year.

The reduced amount of property available has also contributed to a fall in the typical time properties spend on the market. This has dropped by an average of eight per cent over the last 12 months.

Commenting on the figures, director Doug Shephard said: “House price growth is now sweeping north and west from the capital. Welcome news for homeowners, but troubling for potential buyers whose salaries are not increasing anywhere near as fast.”

He added: “Price rises in London and its surrounding regions have now established a solid two-year trend, and one may well conclude that these property markets have fully recovered. However, a true recovery cannot be complete without considerable improvement in the underlying economy, which is currently looking like a one-horse race. Until real wage growth matches house price inflation, housing affordability will become increasingly difficult and a distant dream for many.”

In a warning concerning the government’s Help to Buy initiative, the expert added: “The ongoing availability of government-backed cheap lending is already encouraging overall price rises over and above inflation. A key concern is that the impending Help to Buy scheme will only exacerbate affordability problems. A further market stimulus may be justified in selected areas such as the north, but certainly not across the whole UK, as that would significantly raise the risk of another property crash.”

About the Author – Anna Longdin is a freelance blogger who contributes regularly to a variety of design and lifestyle websites, including the Manser Practice.

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