The Office for National Statistics (ONS) have reported UK house prices are up 9.1% in the last year to February 2014.
House prices over the year are at the highest inflation rate since October 2007 with the Halifax showing 8.7% and Nationwide 9.5% growth in prices.
In London prices have increased by 17.7% over the last year, the highest rate since July 2007 with the south east (excluding London) higher by 5.8%.
In England the rise in the last year has been 9.7%, Scotland 2.4%, Wales 5.3% and Northern Ireland 2.8% higher.
House prices in these regions are likely to rise to the benefit of existing homeowners such as remortgage buyers give them an opportunity to release capital which they can use to improve their home.
Rising house prices allows the equity release mortgage buyer to access wealth from their homes to help your children start or expand a business or even pay for care at home.
Mortgage lending 33% higher
The Council of Mortgage Lenders (CML) has stated that mortgage lending was £15.4 billion for the month of March representing a 4% increase on February and 33% higher than a year ago.
For the first quarter of the year mortgage lending was 10% down at £46.3 billion compared to the fourth quarter of 2013.
Even so, this figure was 37% higher than the first quarter a year ago.
London buyers have largest deposits
CML have said the average mortgage for home buyers in London was £199,000 and for those outside the capital was £110,000.
In addition, as average income in London is higher than the rest of the country, the size of the deposit was higher at 25% compared to only 15% outside the capital.
The ONS also showed that first time buyers are struggling and have experienced a greater rise in house prices up 10.5% for the year to March.
In contrast for home movers and buy-to-let investors price have increased 8.6% over the year.
What are your next steps?
Speak to our LCM mortgage advisers if you are planning to move home, buying your first home, remortgaging your existing home to a new cost effective mortgage deal or are a buy-to-let investor.
Start with a free mortgage quote or call us and we can take your details. Learn more by using the mortgage monthly cost calculators, equity release calculator and property value tracker chart.
For equity release buyers our London City Mortgage brokers can recommend lifetime mortgages allowing you to receive cash from your property to help maintain your standard of living as costs rise or repay an interest only mortgage.
Use your dashboard to access online mortgage quotes, money off vouchers and start your mortgage application online 24/7 on desktop, tablet or smartphone.
