On 16 Feb 2016 the Office for National Statistics (ONS) released their House Price Index for December 2015.
The key figures relating to house price changes in the UK are as follows:
UK house prices up by 6.7% in the year to December 2015.House price inflation in England was 7.3%, down from the 7.7% to November 2015.Average sold house prices in the South-East rose by 8.8%, up from the 12 month increase to November (8.3%).
A total of 17 properties were sold during December 2015 in Newbury RG14, for an average of £351,794. This is a change of +32.5% against December 2014.
On 16 Feb 2016 the Council of Mortgage Lenders (CML) released their data on loans made in December 2015. Key points as follows:
29,300 loans were advanced to first time buyers, for a total of £4.5Bn. Increase of 11.4% in number, and 18.4% in value from December 2014.22,500 loans were advanced for BTL, for a total of £3.4Bn. A 30.1% increase in number and 19.8% in value.
As we do not yet have the full data for December’s sales, we cannot expect that +32.5% is the correct figure. We do, however, now have the full figures for November 2015’s house sales, revealing that 51 properties were sold in RG14, for an average of £321,198 – an increase of 13% on November 2014 – and close to the 16% increase that was shown by the preliminary figures we reported last month.
We also probably have enough data to get a reasonably accurate figure for the annual change.
In 2015, (data as yet incomplete), there were 532 properties sold in RG14 at an average of £316,414. This compares to 934 properties for an average £269,846 in 2014 – an increase of 17%.
Finally, with all the changes to the BTL sector, does it still make sense for investors to consider property? We certainly think so, provided investors have a long term plan with a defined goal and most importantly do their research in full before spending their hard-earned.
For a chat about property in Newbury and surrounding areas, call Tim on 01635 888 288.
