London’s modest housing market recovery was confirmed on Friday by new figures showing prices in the capital rising by 0.4 per cent over the past year.
Latest data from Britain’s biggest mortgage lender Halifax revealed that the average cost of a home in the capital was up slightly to £539,917 in the first quarter.
This was in contrast to surrounding regions such as the South-East and eastern England where they fell.
The Halifax figures confirm a trend that emerged in separate numbers from Nationwide earlier in the week suggesting the capital was seeing stronger demand than the countryside as workers go back to commuting to offices.
Kim Kinnaird, director at Halifax Mortgages, said: “The broader picture is that house prices are up year-on-year, reflecting the opposing forces of an easing of the cost of living squeeze and relatively high interest rates. Prices haven’t changed much over the past couple of years and are still almost £50,000 above pre-pandemic levels.”
Mark Harris, chief executive of mortgage broker SPF Private Clients, said: “Business is brisk, as optimism over the direction of mortgage rates prevails and buyers and sellers demonstrate more willingness to transact.”
Oliver Fish, director at boutique Mayfair-based estate agency, Oliver & Co, said: “I am expecting prices to stay the same throughout 2024.”
