Home  London Property News  Rental values in London grow 3.9%

Rental values in London grow 3.9%

Reading Time: 2 Mins Read

Figures released by the Land Registry house price index reveal annual growth in London of 13.9%. 

And rental values in the capital grew 3.9% in 2015, according to the Office for National Statistics.

A home in London now costs an average of £530,409, compared with just £191,812 in the rest of England and Wales.

The Land Registry – the official body that records the sold price of every property in England and Wales – also reveals the Crossrail effect, with prices in Reading rising 16.1% to £270,146.

Elsewhere in the UK, property prices in south-west England rose 6.2% over 2015 to take the average price of a home there to £220,532 – £46,071 less than homes in south-east England, which rose in value by 10.7%.

In north-east England property prices inched up just 0.2% in 2015, while prices in the north west grew by 2.1% to £114,504.

However, the chief executive of a property finance firm warns the UK’s possible exit from the European Union could affect property prices, but the slowdown of the Chinese economy and a possible rise in interest rates are greater concerns.

Writing in City AM, Oblix Capital’s Rishi Patel says no one knows for sure how a Brexit would affect the UK economy.

In the shorter term, he says the uncertainty as to which way the British public will vote is most likely to cause investment levels in property “to come off the boil”.

If the UK does leave the EU, property values in prime areas of London will be hit the hardest in the short term, but the rest of the UK would feel the pain too.

“Reducing migration levels could also limit the supply of available labour in London as well as affecting the capital’s international culture, which is likely to have a negative impact on the economy and the property industry,” he adds.

For more information, click on the link below:

Homes & Property

How much is your property worth? Contact Assetgrove to discover how you could receive guaranteed rent for up to five years.

Neil Jennings

Neil is the Operations Director at Assetgrove Lettings, London's Leading Rent Guarantee Company, providing Landlords with no voids, property maintenance, fee-free property management and stress-free service.

Related Post

What To Look For When Buying A Buy To Let Property
Updates: 7 Mins Read
What To Look For When Buying A Buy To Let Property

Looking to buy an apartment for let in London? Here’s some factors you may want to consider.

The Letting Agent Fees Ban in the UK
Updates: 5 Mins Read
The Letting Agent Fees Ban in the UK

Landlords and letting agents are not allowed to charge any non-permitted fees to tenants, here we explain the Letting Fee Ban Act.

How to work out your property’s rental yield
Updates: 4 Mins Read
How to work out your property’s rental yield

How landlords in London who let their investment properties to families can generate an annual yield of over 4.5%