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Average London property prices could hit £1m by 2020

In Wales, prices fell by 0.8 per cent, in Yorkshire and Humber and the West Midlands by 0.4 per cent and in the East Midlands and North -west by 0.2 per cent.

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And at that rate, the average house price will be more than £302,000 by December, Right Move said.

“Their properties are rich in features and benefits that others want to buy, and as a outcome they are getting proportionately richer than either owners of less desirable homes or those who are not on the housing ladder at all”.

“It’s a volatile time of year for average prices however, as potential sellers of higher-priced properties tend to refrain from coming to market in the holiday period, but then get on with their home moving plans again in September partly influenced by children going back to school”.

Those who own property that is in most demand, either by type or location, are seeing their values continue to rise.

Outer London is now outperforming inner London, with annual growth of 9.7% versus central London’s 9.1%.

And if London prices keep rising at the current rate, the typical asking price will top £1million by 2020.

The South-east saw a 1.2 per cent rise, East of England one per cent and the South-west 0.9 per cent.

Prices in the capital hit an all-time high in September, jumping 2.2% or £13,177 to reach £620,003, according to Rightmove’s latest House Price Index.

The in-demand nature of United Kingdom real estate has pushed property prices to record highs in England and Wales.

Miles Shipside, Rightmove director and housing market analyst, said however that there was no indication the 9.5 per cent a year growth was sustainable.

“Rental price growth in the south, outside of London, is being fuelled by an increase in the number of Londoners leaving the capital, looking for more affordable markets in the commuter belt”, Morris said.

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It found that people selling properties with at least three bedrooms, suitable for people climbing up the property ladder rather than first-time buyers, have hiked their asking prices by 1.2 per cent on average over the last month.

Rightmove asking price to Sep 2015-2