|Average Flat Price in W12 Now Above £400,000|
Smaller homes in 'less desirable' areas now out of range of most first-time buyers
Flat prices in Shepherd's Bush continued to rise in price during the winter months, with the average in the first quarter of 2014 climbing above £400,000 for the first time.
Among 82 flat sales - just seven less than the 89 sold in the last three months of 2013 - the average rose by 6.9% from £380,300 to £409,013.
The bad news for first time buyers is that the average price of flats is now above £300,000 in all areas of W12 . The W12 9 postcode area experienced the biggest boost, with prices rising from £380,300 in the previous quarter to £470,469.
John Rigg of local agents London Estates says: "The market is strange as instructions are still thin on the ground and the simple rule of supply and demand is the driving force behind the exceptionally high asking prices.
" Prices are still rising at their fastest rate since 2007 with Hammersmith and Fulham hitting the dizzy heights of 18.2% in the last 12 months.
" Ideally we would like to see this unsustainable price rise slow, as the market is being strangled by a shortage of stock and the difficulty in securing a mortgage since the MMR policy was introduced.
" Hammersmith, Shepherd's Bush and Acton are still very popular with families and young professionals, with their close proximity to central London, open spaces like Ravenscourt, Wendell and Acton Park and the amazing shopping centre at Westfield make this area in west London highly desirable and the demand looks set to continue."
The overall average showed a smaller rise in this quarter of 5.2%, taking it from £526,828 to £555,002 and again, the W12 9 postcode area benefited the most, with the average zooming from £581,516 to £696,493.
Terraced houses however, fared less well in winter, with the average value sliding by 8.7% from £866,152 between October and December to £791,564 in this quarter.
Over the last twelve months London as a whole has seen a rise in average values of 12.4% making it the strongest performing area in the country. The average house in the capital now costs £414,490.
For England and Wales as a whole, Land Registry figures show that the average prices is up by 5.6% over the last year to £ 169,124 although they are down compared with February.
Repossession volumes decreased by 31 per cent in January 2014 to 979 compared with 1,420 in January 2013.
The most up-to-date figures available show that during January 2014 the number of completed house sales in England & Wales increased by 46 per cent to 63,123 compared with 43,373 in January 2013.
The number of properties sold in England and Wales for over £1 million in January 2014 increased by 61 per cent to 1,011 from 628 in January 2013.
The numbers below are subject to revision as is it usual that some properties are added late to the Land Registry's database.
Source: Land Registry
May 26, 2014