Trafford house prices rise nearly as fast as London’s

House prices in the England and Wales hit record highs in June, overtaking the previous peak of the 2007 property market boom, according to official, Government data published on Tuesday.

Typical property values jumped by 1.1% month-on-month between May and June, meaning that they overtook a previous high of £180,983 reached on the Land Registry’s records in November 2007.

The smallest increase was seen in Yorkshire and Humber, with prices up 1.4 per cent to £121,070.

The Land Registry said the average home saw more than 1% added to its value in June 2015 alone, and said 21 London boroughs had seen annual price growth of at least 10%. It was the third month of climb in row.

This has been because of a shortage in supply, which has pushed the average price up to £181,619 across England and Wales.

Halton house prices decreased by 2% in a month.

The average house price in London has reached £481,820, and within the capital there have been some particularly sharp price increases over the last year, with Newham recording the strongest increase at 16%.

London saw the greatest increase in house prices compared to other regions, rising by 9.2%. Prices in Bolton have fallen by 5.2% in the year to June, one of the biggest drops in England and Wales.

Around the country, locations that have seen prices increase by 10% or more over the past year include Merthyr Tydfil (15%), Reading (14%), Slough (12.9%), and Brighton and Hove (11.1%).

Falling transaction figures, and a stark warning that interest rates might go up as early as January next year, have fuelled fears that the housing market may fail to pick up pace in the second half of the year.

Andrew Montlake, director at Coreco Mortgage Brokers, said house prices are likely to hold firm for the rest of the year as demand for property remains strong while the supply of good quality stock continues to be an issue.

The strong price growth has not just been confined to London. The prime minister’s election placard promising “a home of your own” is on the verge of becoming an empty promise.

“The government needs to be building 200,000 houses per year and we are well short of where we need to be”. “Expats here on holiday visiting family, for example, who are taking the opportunity to get in front of sellers and see what is available …”