UK Money News

Money News

17th June 2008

South east tops table for house price growth

Strong performances for property south Buckinghamshire and east Sussex helped make the south east the dominant region for house price growth last year, according to Knight Frank.

Figures compiled from the estate agent shows that house price growth across the region stood at seven per cent.

The most marked increases were recorded by the Wealden area in Sussex and the southern parts of Buckinghamshire, both of which saw house prices increase by 19 per cent.

By way of comparison, house prices in London rose by four per cent, while across the country the rate was five per cent.

Liam Bailey, Knight Frank head of residential research, said that issues with a shortage of housing supply were the principal factor for the sustained levels of growth in the south east.

He commented: "This scenario, combined with the absence of both sharply rising interest rates and little evidence of a rapidly deteriorating employment market, has meant there are not a large number of forced sellers.

"Consequently, we envisage that the south-east will experience limited price falls in 2008, on a par with Greater London and still outperforming the wider UK market."

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