London property breaks £600,000 barrier

The price of the average home in London broke through the £600,000 price barrier in April for the first time,

Home values in the capital have now doubled over the last seven years and continue to lead the rest of the UK after rising 11% in the year to April, more than any other region.

England and Wales saw their fastest annual house price growth since December 2014, with prices of 8.9% in the year to April.

House prices are at a record high in nine out of the regions, with overall average home values now approaching £300,000

April saw 20,000 fewer sales than usual during the month, after March’s stamp duty rush squeezed the supply of homes.

Adrian Gill, director of Your Move and Reeds Rains estate agents, which produced the figures, said homeowners are “basking in the spring sunshine”.

“The typical home in England and Wales is now worth £24,280 more than a year ago, with property prices rising 8.9% since April 2015 – meaning they now stand tantalisingly close to £300,000.

“This acceleration in home values comes when many had expected house prices to dip due to a natural decline in demand from buy-to-let and second home buyers.

“However, after an exceptional March, there is now a severe shortage of properties on the market, with fierce competition between buyers for each available property.”