The average property in the UK now costs £186,350, with flats enjoying the largest rise in value over the last 12 months.
New figures from the Land Registry for the year to October show there was a 5.6 per cent increase in house prices across the country. However, in the case of flats and maisonettes, the price hike was found to be 6.6 per cent.
It means a typical flat or maisonette will now set buyers back £179,378 (up from £168,329 in October 2014). The second-largest rise was recorded in terraced houses, which surged by 5.7 per cent to £141,002 in the year in question.
Kevin Shaw, National Sales Director at property specialist Leaders, says: “2015 has been another strong year for house prices, with the vast majority of areas and all property types seeing substantial increases.
“It is particularly interesting to note flats achieved the largest rise in value out of all property types. This once again proves flats are the ideal purchase for those eager to benefit from rising prices, such as first-time buyers who can use the proceeds of a future sale to move up the ladder and buy-to-let investors focused on both rental income and capital growth.”
The Land Registry results also revealed an array of locations in which house prices have been growing significantly faster than the national average over the last 12 months.
Prices rose fastest of all in London, adding 10.3 per cent since last October, while the south-east (8.3 per cent) and the east of England (eight per cent) also fared well. The counties of Hertfordshire (11.5 per cent) and Windsor and Maidenhead (11 per cent) recorded extremely strong results, with both areas outperforming Greater London.
However, there was a reduction in the total number of properties sold. Between May and August, the average number of properties sold per month was 77,046, down from 82,748 in the same period a year earlier.
Kevin explains: “2015 has been characterised by a lack of supply in the market which has led to a downturn in the number of transactions reported. We know that many people would like to move and are ready to do so, but a lack of supply has forced them to delay their plans. As a result there is now significant pent-up demand within the market.
“However, the new year is always a busy time and we expect the situation to improve as we head into the first few months of 2016. As more properties are put on the market more people will be able to go ahead with their plans to move and we are confident the market will pick up once again. We are looking forward to a busy 2016.”
For more information on selling, letting, buying or renting a property in your area, contact your local Leaders branch for reliable advice and the latest market insight. Or to find out how much your home could be worth, arrange a free, no-obligation valuation.