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Property Increases Further

Written By On 17/12/2013

The Council of Mortgage Lenders have just released borrowing figures based on a different type of data for the first time.

The CML have not just divided Britain's residential mortgage lending across regions in the UK, but have now broken it down even further into nine thousand area postcodes.

The data has shown quite categorically that there really is a very significant North versus South difference, with London grabbing a big chunk of this particular pie.

London borrowers loaned over 25 per cent of the total £891.4 billion offered out by the council's lenders. England's capital added together with the South West and South East of the country amounted to just over half of the billions of pounds loaned out.

Director Paul Smee says,

Strong levels of mortgage lending are broadly correlated with those areas where there is a strong resident population as you would expect.

These numbers go hand in hand with London house figures announced by the Office of National Statistics.

According to their data, this year's annual residential property prices were up by twelve per cent in London at the end of October. They now report the average price for a home there up to £437,000.

But prices have risen all across the UK. England alone has increased by 5.7 per cent making an average house figure of £257,00.

Northern Ireland, Wales and Scotland have all seen annual inflationary rises of 4.8, 3.3 and 2 percent respectively. In essence it means that the whole of the United Kingdom saw an annual increase of 5.5 per cent.

All in all this makes the average result for a residential property in the UK at nearly two months ago stand at £247,000.

As first time buyers on average paid £185,000 for their first home it translates into them having to borrow that bit more in order to climb on the ladder.