House prices 7.2% higher than last year
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House prices were 7.2% higher in June than at the same time in 2009, reports Assetz.
Assetz House Price Watch reveals the average price of a home in June was £200,341.
House prices remain only 6.8% below the peak of £215,089 in October 2007.
The House Price Watch continues to show a fall in the high rate of annual growth recorded in previous months, down on 7.9% in May and 9% in April.
But prices have climbed over 3% for the year to date.
Researchers show the six month rolling average at 6.6%, down from a peak of 11.96% in October 2009.
Stuart Law, chief executive of Assetz, says the housing market is undergoing a recovery.
He says: “Mortgage rates are also likely to be kept low for the foreseeable future. I would not be surprised if the base rate is still at 0.5% at the end of next year, although there is a 25% chance it will have increased to 2% in this period. This is great news for homeowners on lifetime tracker mortgages and is likely to encourage even more buyers into the market.
“For the year in hand, I still expect to see a modest 5% overall growth as the positives continue to outweigh the negatives. 2009 was also an uncertain year but our 5% prediction turned out to be the most accurate in the market at a time when most predicted prices collapsing. We may well see the same again this year.”
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