Capital renting to soar as house prices carry on rising

31 2008
The number of people opting to rent a property in London is set to increase over the coming months as property prices in the capital continue to climb.

Despite recent reports of a slowdown in the market, new figures from the Land Registry show that house price growth in the city was positive in December, rising by 0.6 per cent.

This brought the rise in the cost of a property to 14.3 per cent, with the average London home now costing £354,625 in comparison to a national average of £184,469.

The release of these official figures comes as a large number of property experts predict that the demand fro rental accommodation is set to soar in 2008 as professionals continues to be priced out of the property market and many homeowners choose to sell and move into the rental sector in order to protect themselves from the current economic uncertainty.

The figures also show that house prices across the south-east in general rose by an average of 7.2 per cent over 2007, making it the least affordable region for people looking to buy. ADNFCR-1219-ID-18448673-ADNFCR

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