South-west and London 'most affected by rising house prices'

Wednesday, June 30 2010

People in the south-west of England and London may be among those who need to save the most money if they are to make it on to the property ladder.

New research by Nationwide shows these are the areas to have experienced double-digit annual growth and largest overall house prices respectively.

Indeed, those in the south-west have seen property values soar by more than 12 per cent over the last year.

Meanwhile, the capital remains the most expensive place to live, while the north is the cheapest.

Commenting on the previous quarter, the building society's chief economist Martin Gahbauer says: "The south-west of England saw the strongest growth in the quarter, with prices up by a seasonally adjusted three per cent."

People in the areas hoping to either buy their first home or move to a larger property may find a period of intense saving is the only way they will be able to afford to do so.

According to Acadametrics' research for the Financial Times earlier this year, house prices had risen to an average of £214,283 in England and Wales.