Government data on UK house prices (HPI) for March shows the annual change for average house prices was 4.1% in the 12 months to March 2023, compared with 5.8% in the 12 months to February 2023.
The average UK house price was £285,000 in March 2023, which is £11,000 higher than 12 months ago, but £8,000 below the recent peak in November 2022.
Average house prices increased over the 12 months to £304,000 (4.1%) in England, to £214,000 in Wales (4.8%), to £185,000 in Scotland (3.0%) and to £172,000 in Northern Ireland (5.0%).
On a non-seasonally adjusted basis, average UK house prices decreased by 1.2% between February 2023 and March 2023, while average UK house prices increased by 0.5% during the same period 12 months ago.
The UK Property Transactions Statistics showed that in March 2023, on a seasonally adjusted basis, the estimated number of transactions of residential properties with a value of £40,000 or greater was 89,560.
This is 18.9% lower than 12 months ago (March 2022). Between February 2023 and March 2023, UK transactions increased by 1.3% on a seasonally adjusted basis.
Annual house price inflation was highest in the South West where prices increased by 5.4% in the 12 months to March 2023.
London was the English region with the lowest annual growth, where prices increased by 1.5% in the 12 months to March 2023.
Commenting on the latest figures north London estate agent and a former RICS residential chairman, Jeremy Leaf, says: “This most comprehensive of all the housing market surveys confirms what we have seen elsewhere, even though these figures are a little dated”.
“Prices are up a bit or down a bit with no significant changes expected over the next few months. Buyers and sellers are finally shrugging off the worst effects of last September’s mini-Budget, with the market in a better place than it was at the end of last year”.
He concludes: “Confidence is slowly returning, particularly as inflation is beginning to fall and expectations grow that interest rates are at or near their peak.”
Anthony Roberts estate agent director Alex Lyle argues that much depends on what type of property you are interested in buying in terms of what prices are doing.
“There is little differential in house prices compared to this time last year while flats are compromised and struggling to achieve the prices they could have done a year ago”.
“Stock levels are up on this time last year and the majority of houses in the £1.5m-plus bracket are going under offer within three weeks of marketing. However, we have never known transactions take so long to progress from agreed to exchange as many solicitors find themselves at capacity”.
He adds: ‘Demand from new buyers is down slightly year-on-year although over the past couple of months we have seen an uptick in enquiries as the weather improves and properties appear at their best.’
