Housing market heats with price rises: index

According to the data, the yearly change for London was considerably higher than other regions at 6.9 per cent growth, in comparison with the country average of 0.8 per cent.

There were just 1185 repossessions in England and Wales during April 2013, while the number of residential properties in England and Wales lodged for registration in June reached 59,000, varying in value from £10,500 to £15m.

Apart from London, Conwy in Clywd, north Wales, experienced the greatest year-on-year price increase in June with 7.5 per cent. By contrast Middlesbrough and the county of Powys in Wales saw the most significant yearly price fall with a decrease of 10.3 per cent and 9.4 per cent respectively.

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Overall sales volumes from January 2013 to April 2013 decreased slightly compared with the same period last year to 47,308 transactions a month.

However there was a significant increase in the sales volumes for properties worth more than £1m.

The figures showed there were 703 properties sold in April, compared with 484 sold during the same period of year.

In London 490 properties worth more than £1m were sold in April, a 50 per cent increase compared to last year.

Adviser view

Brian Murphy, head of lending for London-based the Mortgage Advice Bureau, said: “Help to Buy continued to heat up the housing market. Increased buyer interest has also reignited competition between lenders.

“Product numbers rose to nearly 10,000 in June, their highest since November 2011, while fixed-rate deals have been in free fall for almost a year.

“A crucial challenge for the Treasury will be to cement the finer details of the mortgage guarantee to encourage the majority of lenders to participate and improve product pricing.”