The latest market trend data from the Land Registry confirmed escalating prices in all regions of England over the past year, with the biggest rise occurring in London, at 18.5 per cent.
The capital also saw the biggest monthly increase in house prices – of 2.5 per cent from April to May.
However, the data also showed that several regions have experienced a slight slowdown in the past few months. Regions where house prices cooled included the North West, where prices fell 0.5 per cent, and Wales, where the drop was 0.2 per cent.
According to the Land Registry data, the overall rise in property prices since May 2013 has taken the average value of a home in England and Wales to £172,035.
Brian Murphy, head of lending for national advisory firm Mortgage Advice Bureau, said: “Prices appear stable across much of the Midlands and the north, which will give renewed hope to first-time buyers that buying property is still a realistic ambition. Many of the sales using Help to Buy equity loans and mortgage guarantees have been focused in these regions, allowing better access to mortgage finance without pushing house prices further out of reach.”