October house prices down 0.9 per cent

The October data from Land Registry's flagship House Price Index shows an annual price decrease of 3.2 per cent which takes the average property value in England and Wales to £159,999.

 The monthly change from September to October is a decrease of 0.9 per cent and continues the negative monthly price change seen in September.

 The only region in England and Wales to experience an increase in its average property value over the last 12 months is London with a movement of 0.3 per cent. The East experienced the greatest monthly rise with a movement of 0.7 per cent. The North East experienced the greatest annual price fall with a decrease of 7.2 per cent. Wales experienced the most significant monthly price fall with a decrease of 3.0 per cent.

 The most up-to-date figures available show that during August 2011, the number of completed house sales in England and Wales increased by 1 per cent to 62,010 from 61,469 in August 2010. The number of properties sold in England and Wales for over £1 million in August 2011 decreased by 7 per cent to 714 from 764 in August 2010.

 Mark Montgomery, commercial director of 1st Property Lawyers said:

 “The 0.9% monthly fall in average house prices nationally hides a complex regional picture where nearly half of the regions experienced a modest price rise in October,offset by more significant reductions in London, Wales and the North of England.

 “Areas where prices have fallen may provide additional encouragement for motivated first time buyers who are not supported by the Government’s mortgage indemnity scheme but well priced properties are continuing to sell and activity levels in much of the market are holding up extremely well at the end of November."