Jackson-Stops comments on May’s ONS House Price Index
Nick Leeming, Chairman of Jackson-Stops, comments on the publication of the latest ONS House Price Index for May 2021 (14 July).
Key points from the index:
- UK average house prices increased by 10.0% over the year to May 2021, up from 9.6% in April 2021.
- UK average house prices saw a slight monthly increase (0.9%) in the month to May 2021 to £255,000, nearly returning to the record UK average house price seen in March 2021 (£256,000).
- Average house prices increased over the year in England to £271,000 (9.7%), in Wales to £184,000 (13.3%), in Scotland to £171,000 (12.1%) and in Northern Ireland to £149,000 (6.0%).
“While prices have dipped ever so slightly on their March peak, record amounts are still being paid across the country for our new homes. Buyers in the North West, in particular, are paying a significant £20,000 more than they were when the market re-opened this Summer. This is a testament to the ground-breaking demand we have seen in the market over the past year, despite unparalleled economic uncertainty.
“So far, we are not seeing any evidence of activity dropping off significantly as a result of the SDLT changes in June, and even recorded more applicants over the past month than the month prior. Our branches in Northampton, Mid-Sussex and Dorking experienced the highest applicant activity in May. This chimes with today’s data which reveals some local authorities in the East Midlands growth as high as 30% on the year in May.
“With the work from home message due to be dropped next week, many will be considering how their new lifestyle can best fit with their return to the office. Our analysis of house price growth, train reliability, speed of journey and train crowding revealed seaside towns on the Kent coast came out top for buyers who are considering how they can align their desire for more space and access to nature with a gradual return to a more balanced split between remote and office working. Our analysis highlighted Folkestone as the best commuter location overall, whereas Herne Bay and Sandwich rank first and second for speed alone. Savvy buyers should consider their position now before demand increases in these sought-after areas, while homeowners in these towns considering a lifestyle switch of their own may soon find they have a fantastic opportunity to achieve a quick, easy sale at a great price.”
Kindly shared by Jackson-Stops
Main photo courtesy of Pixabay
