|Do Stagnant House Prices Show Ealing is in Decline?|
Property values in the area unchanged over last five years
The average price of a home in Ealing has remained more or less unchanged over the last five years according to the latest official figures leading to some concern that the area is in decline relative to other parts of West London.
In the first quarter of 2006, the Land Registry's numbers showed that the average sale price in the W5 area was £377,168. The average for the first quarter of 2011 is less than 1% higher and over three years prices in the area are down by 7.9% A similar pattern has occurred in the W13 area.
This is in stark contrast to other areas of London. For instance in Chiswick over the last five years prices have risen by 54.1% and in Putney they are up by 38.2%
A recent research report by property consultants Jones Lang LaSalle has estimated that the average rental price per square foot in Ealing W5 is £20.74 lower than the levels achieved in Acton.
The average price in W5 during the first quarter was £379,621. Part of the fall can be attributed to flat sales being relatively buoyant whereas house sales saw a sharp drop in volume. Over the longer term house prices have performed better and are up over the last three years.
Once again this pattern was mirrored in the W13 area where prices averaged £379,621.
Ronan McNamara, Director of estate agents Robertson Smith & Kempson isn't too concerned about the latest figures, he says :
'' The fact is there is so much under laying wealth in West London we will always have a market. The shortage of properties is largely being caused by the fact that a lot of homeowners are not moving as they cannot get a bigger mortgage so they are staying put.''
House prices in London are now the only in the country that have risen compared with the same period last year. The Land Registry's House Price Index shows that the average price in the capital was £336,828 in March 2011 up by 0.8% compared to the same month last year.
For England and Wales the average price is now £160,996 down by 2.3% from March 2010. Prices in the north east have fallen by 9.3% and in Wales they are down by 7.2%.
In a forthcoming edition of the Ealingtoday.co,uk newsletter there will be a complete listing of recent property sales in the area.
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Ealing Property Prices - January - March 2011
W5 Post Code Area
W13 Post Code Area
Data in this report is subject to crown copyright protection.
May 20, 2011