As winter sets in, the property market is showing no signs of cooling, according to the Land Registry’s latest survey. Average price rises of 1.2% were recorded in October, with London still leading the market with an annual growth rate of 9.6%. But property experts are reluctant to forecast a continuing boom: ‘With affordability now deteriorating from an already poor level, we doubt that the latest upswing in house price inflation will be sustained,’ said Ed Stansfield from Capital Economics.
But the Land Registry’s latest data shows the South East is catching up with London inflation rates. House price inflation now stands at 8.1% in the region, up 2% since October ? a sign that London’s success is rippling out into the surrounding counties.
And house prices in areas further away from London’s influence are also excelling. In the North East, house price inflation rose from 1.9% in September to 5.8% in October, the largest rise of any region.
‘Overall, the latest data contain no signs that the market is losing steam,’ concluded Mr Stansfield.
