House prices rise 'marginally' in England at start of 2017

 
House prices rise 'marginally' in England at start of 2017 [Photo: Photobuay via iStock]

House prices in England have risen slightly in the early part of 2017, but falling prices in other parts of the UK are helping to fuel a growing north-south divide in the nation, it has been claimed. 

According to the latest data released this week by Home.co.uk, England experienced a month-on-month house price rise of some 0.3 per cent in January when compared to December last year. 

By way of contrast, house prices in Scotland were down by 0.3 per cent in the same period, while final sale values in Wales fell by around 0.2 per cent between December and January, according to the report. 

England's best performing region, opening up something of a north-south divide, remains the East of England, where prices for January rose by 1.9 per cent, taking the average in the area to an all-new peak of over £348,000. 

However, while there were slight falls in the price of homes month-on-month in some areas, overall the UK's property market looks in good shape as of the start of 2017. Data shows that at the end of January, house prices across the UK as a whole were some three per cent higher than they were in the same month last year. 

This means that the average property price in England and Wales now sits at some £298,445, while in Scotland the average price has risen to some £177,037 as of the end of January. 

Doug Shephard, Home.co.uk director, believes that prices could rise across the coming months, but added that this is likely to be in places where there are more tenants than buyers, as landlords will tend to invest heavily in such areas. 

"It is an established fact that some of the best buy-to-let yields in the country are to be found in the North, and Yorkshire will not be alone in attracting the attention of investors going forward," he added.