RE: More good news1 Oct 2014 09:37
News comes from the Land registry which is 6 months behind so that's why figures are distorted.
BUT - cash buyers transaction numbers / figures aren't always registered especially when figures are released by Nationwide and Halifax.
London prices is still 31% higher than at the peak of the market in 2007 and the rest of the UK is only 1% up. So if you bought at the peak ( or in the last Bubble ) and weren't forced to sell when the markets were down in 2008 - 2010 you would be approx. 31% better off according to BBC report yesterday. See below.
The annual rate of house price growth slowed in September to 9.4% from 11% the month before, the Nationwide says.
On a monthly basis, prices were down by 0.2% - the first time that figure has fallen since April 2013.
It said strong regional variations remained, with London and the South continuing to lead the market.
Prices in London are 31% above those reached at the last peak of the market in 2007. Elsewhere, prices are just 1% above pre-crisis levels.
Nationwide says average house prices across the UK have fallen to £188,374.
The average price of a house in London is £401,072.
Unless the government is going to build 100 000's of homes in London or very close commuter belts from there the London market will continue to grow. Simple demand and supply.
The issue has to be that if someone cant afford to buy they will have to rent somewhere and if there is a strong rental market there is an appetite for BTL investors and the cycle continues.