The monthly change from April to May shows an increase of 0.4%. Repossession volumes decreased by 37% in March 2014 to 987 compared with 1,560 in March 2013.
The region in England and Wales which experienced the greatest increase in its average property value over the last 12 months is London with a movement of 18.5%, which also experienced the greatest monthly rise with a movement of 2.5%.
North East saw the lowest annual price growth with a movement of 0.9%, while Yorkshire & The Humber saw the most significant monthly price fall of 0.9%.
The most up-to-date figures available show that during March 2014 the number of completed house sales in England & Wales increased by 16% to 63,587 compared with 54,708 in March 2013. The number of properties sold in England and Wales for over £1 million in March 2014 increased by 28% to 840 from 657 in March 2013.
The region with the greatest fall in repossession sales in March 2014 was the East Midlands.
Nicholas Ayre, managing director of buying agency Home Fusion, says:
"The London market powers onwards, according to the Land Registry, with double-digit growth. But agents suggest that sentiment is changing as buyers are taking more time to consider a purchase before taking the plunge.
"Mark Carney has made it clear that interest rates will go up sooner rather than later so buyers are rightly asking whether they can they afford the property now and also in a year's time when rates could be higher. Even a 0.25 percentage point rise will make a difference: it may not sound like much but that's a 50% jump from where we are now so it needs to be taken seriously.
"Buyers are taking heed of the warnings. Any good property will still march out the door but anything unusual will take longer to sell."
Jeremy Duncombe, Director, at Legal & General Mortgage Club, comments:
"Fears of a house price bubble continue to dominate the news agenda. Worries about London and the South-East seem to be causing policymakers to seriously consider intervention. However, while measures that encourage sensible lending are always a good thing it must be remembered that the UK housing market extends far beyond the capital and its environs.
"Any far reaching changes do run the risk of putting a halt to recovery in other areas of the country and nurturing that is just as big a concern as the London and south east market overheating. The only way that we can build a sustainable and balanced housing market is by building more homes and all efforts must be made to get builders building.”
Alan Cleary, Managing Director of Precise Mortgages comments:
“Land Registry data released today reveals that while it cites a negligible drop for May, house prices remain high across the country. The impact of this will be felt most acutely by first time buyers and those looking to purchase in areas of substantial growth such as London which experienced an annual increase of 18.5%. Only this week Shelter brought to light the problem of affordability, revealing only 86 homes in London are considered affordable. So it begs the question, what more we can do as an industry to help those looking to take their first step on the property ladder, no matter their chosen location. There are myriad challenges facing buyers from the threat of rising interest rates, climbing house prices and mainstream providers focusing on stricter criteria following the implementation of MMR. While affordability assessments are important, post MMR tightening is stopping credit worthy first time buyers from accessing mortgages they deserve. A strong housing market is important for the economy but we must not forget the individuals alongside the statistics, this is about real people struggling to fulfil their homeowning ambitions. As an industry, helping them achieve that goal should be a key motivation.”
