London and West Midlands see biggest rise in house prices

Estate agents in London and the West Midlands experienced the healthiest business in August, new figures from the Land Registry have suggested.

The House Price Index, which is published on the 20th working day of each month, revealed that the two regions saw the largest monthly price rises in the UK, with a 0.8 per cent increase.

This brings the average house price in London to £310,640, compared with £155,968, which is the average for England and Wales as a whole.

Monthly sales in England and Wales increased at a steady rate to 48,903 during the first half of 2009, up from 26,517 in January.

The average drop in house prices rests at 9.4 per cent, which is an improvement on February's low of 16.3 per cent.

In related news, online community LandlordZONE recently commented that the residential property market is likely to experience "many positives" over the next few years.