The latest UK house price index statistics produced by Communities and Local Government reveal that UK house prices were 2.9 per cent higher than in December 2008 and 0.8 per cent higher than in November 2009.

The UK average house price rose by 2.9 per cent in the year to December 2009, compared with a rise of 0.l5 per cent in the year to November. Between November and December there was a rise of 0.8 per cent in house prices compared with a fall of 1.6 per cent over the same period last year.

Eight consecutive month on month rise in the UK house price index have resulted in an increase over the year to December.

Country
Annual house prices rose in all UK counties except Northern Ireland in the year to December 2009. Annual house price growth was 3 per cent in England 1 per cent in Wales and 3.8 per cent in Scotland in December whereas in Northern Ireland house prices fell by 6 per cent on average in the year to December.

Region
Average mix adjusted house prices rose between November and December in five of the nine English regions North East and North West, West Midlands the East and London and fell in the remaining four regions non seasonally adjusted.

The annual house price rates of change in England ranged from 0.8 per cent in the East Midlands to 4.9 per cent in London. The annual growth rates in the other regions were 1.7 per cent in the south west 2.1 per cent in Yorkshire and the Humber 2.6 per cent in the West Midlands 2.8 per cent in both the Nortth West and the South East 2.9 per cent in the East and 4 per cent in the North East.

The rise in annual house price rates for the North East is notable as it is the first rise for this region since May 2008.

Type of Buyer
The UK annual growth in house prices for first time buyers rose from an average 4 per cent in November to 6.8 per cent in December. There was a rise of 1.4 per cent between November and December in the price of properties bought by first time buyers compared with a fall of 1.3 per cent last year resulting in an increase in the annual rate.

The annual house price growth rate for former owner occupiers was 1.4 per cent in December up from 0.8 per cent in November. Average prices between November and December for properties bought by former owner occupiers rose by 0.6 per cent compared with a fall of 1.7 per cent at the same time last year resulting in annual house price growth.

The average price paid by first time bueyrs across the whole of the UK was £149,699 in December, while the average price paid by former owner occupier was £231,470

New and pre-owned dwellings

The UK annual rate of change in house prices for new dwellings fell from an average of 0.5 per cent