New ONS house price series shows average home is £80,000 cheaper than previously estimated

Commenting on the new UK House Price Index, Richard Snook, senior economist, PwC, said:

New ONS house price series shows average home is £80,000 cheaper than previously estimated:

“Today marks the launch of the revised Office for National Statistics (ONS) house price index, which makes use of a new methodology to estimate the value of our homes.

The ONS now estimates that the average UK house is much cheaper than previously estimated. The revised estimated price as at March 2016, is now £209,000, compared to £292,000 under the old methodology.

“The recent trend in house price growth is little changed as the new figures continue to show a surge in house prices in March, as buyers rushed to beat the introduction of the new 3% supplementary Stamp Duty charge on additional properties.

Year-on-year growth in prices then dipped slightly to 8.2% in April from 8.5% in March. Overall, the housing market still appears reasonably strong as we move into the summer, with little sign yet of a drag from uncertainty around the EU referendum outcome.”

The new edition of our UK Economic Outlook will be released in July and will contain our latest housing market projections for the years ahead.

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