November 30, 2021

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UK House Price Index summary: February 2021

UK House Price Index summary: February 2021
1. Headline statistics for February 2021 Estimates for the most recent months are provisional and are likely to be updated as more data is incorporated into the index. Read Revisions to the UK HPI data. Next publication of UK HPI The March 2021 UK HPI will be published at 9.30am on Wednesday 19 May 2021.…

1. Headline statistics for February 2021

Estimates for the most recent months are provisional and are likely to be updated as more data is incorporated into the index. Read Revisions to the UK HPI data.

Next publication of UK HPI

The March 2021 UK HPI will be published at 9.30am on Wednesday 19 May 2021. See the calendar of release dates for more information.

2. Economic statement

UK house prices increased by 8.6% in the year to February 2021, up from 8.0% in January 2021. On a non-seasonally adjusted basis, average house prices in the UK were unchanged between January and February 2021, compared with a decrease of 0.6% during the same period a year earlier (January and February 2020).

House price growth was strongest in the North West, where prices increased by 11.9% in the year to February 2021. The lowest annual growth was in London, where prices increased by 4.6% in the year to February 2021.

The Royal Institution of Chartered Surveyors’ (RICS) February 2021 UK Residential Market Survey results show that the coronavirus restrictions in February 2021 appear to be deterring new vendors from putting their homes up for sale, with demand metrics also slightly negative.

The Bank of England’s Agents summary of business conditions 2021 Q1 reported that contacts said the outlook for the housing market had improved, with activity supported by the extension of the property transaction tax holiday and of the Coronavirus Job Retention Scheme. Estate agents expressed concern about a shortage of properties for sale and said buyers appeared to be less price sensitive than normal.

The UK Property Transactions Statistics showed that in February 2021, on a seasonally adjusted basis, the estimated number of transactions of residential properties with a value of £40,000 or greater was 147,050. This is 48.5% higher than a year ago. Between January 2021 and February 2021, UK transactions increased by 23.0% on a seasonally adjusted basis.

The Bank of England’s Money and Credit February 2021 release reported that mortgage approvals for house purchases (an indicator of future lending) in February 2021 was 87,700. While higher than in February 2020, they have fallen from a peak of 103,700 in November 2020.

3. Price changes

3.1 Annual price change

Annual price change for UK by country over the past 5 years

Average house prices in the UK increased by 8.6% in the year to February 2021, up from 8.0% in January 2021.

At the country level, the largest annual house price growth in the year to February 2021 was recorded in England, where house prices increased by 8.7%.

Wales saw house prices increase by 8.4% in the year to February 2021.

Scotland saw house prices increase by 8.0% in the year to February 2021.

Northern Ireland saw house prices increase by 5.3% over the year to Quarter 4 (October to December) 2020.

3.2 Average price by country and government office region

Price, monthly change and annual change by country and government office region

Country and government office region Price Monthly change Annual change
England £268,291 0.2% 8.7%
Northern Ireland (Quarter 4 – 2020) £147,593 3.0% 5.3%
Scotland £161,529 -1.7% 8.0%
Wales £179,861 -0.7% 8.4%
East Midlands £213,967 0.8% 10.6%
East of England £306,346 -0.9% 6.0%
London £496,269 -1.4% 4.6%
North East £138,370 -1.6% 9.0%
North West £184,351 1.3% 11.9%
South East £345,075 0.9% 8.5%
South West £279,242 0.0% 9.0%
West Midlands Region £215,451 0.8% 8.3%
Yorkshire and The Humber £182,220 0.6% 10.9%

Price changes by country and government office region

On a non-seasonally adjusted basis, average house prices in the UK were unchanged between January and February 2021, compared with a decrease of 0.6% during the same period a year earlier (January and February 2020). On a seasonally adjusted basis, average house prices in the UK increased by 0.5 between January and February 2021.

Note: The Northern Ireland figure represents a 3-month change and is not comparable with the other regions and countries.

3.3 Average price by property type

Average monthly price by property type

Property type February 2021 February 2020 Difference
Detached £383,088 £351,042 9.1%
Semi-detached £239,307 £219,734 8.9%
Terraced £204,418 £187,607 9.0%
Flat or maisonette £214,114 £200,659 6.7%
All £250,341 £230,609 8.6%

4. Sales volumes

The amount of time between the sale of a property and the registration of this information varies. It typically ranges between 2 weeks and 2 months but can be longer. Volume figures for the most recent 2 months are not yet at a reliable level for reporting, so they are not included in the report. Published transactions for recent months will increase as later registered transactions are incorporated into the index.

Sales volume data is also available by property status (new build and existing property) and funding status (cash and mortgage) in our downloadable data tables. Transactions involving the creation of a new register, such as new builds, are more complex and require more time to process. Read Revisions to the UK HPI data for more information.

4.1 Sales volumes

Number of sales volumes by country

Country December 2020 December 2019
England 71,132 70,541
Northern Ireland (one-third of sales in Q4 2020) 2,467 2,252
Scotland 10,756 8,072
Wales 4,146 4,089

Note: The number of property transactions for December 2020 will increase as more transactions are incorporated into the index. See our Revisions Policy for more information.

Comparing the provisional volume estimate for December 2019 with the provisional estimate for December 2020, volume transactions increased by 16.2% in England, 14.8% in Wales and by 34.7% in Scotland. Northern Ireland’s volume transactions increased by 22.9% in the year to Quarter 4 2020.

UK Property Transaction Statistics published by HM Revenue & Customs (which differ in coverage but are more complete for this period) report that on a non-seasonally adjusted basis, volume transactions increased by 28.9% in England, 25.9% in Wales, 35.5% in Scotland and 43.7% in Northern Ireland in the year to December 2020.

4.2 Sales volumes for the UK over the past 5 years

Sales volumes for 2016 to 2020 by country: December

Note: The number of property transactions for December 2020 will increase as more transactions are incorporated into the index. See our Revisions Policy for more information.

Comparing the provisional volume estimate for December 2019 with the provisional estimate for December 2020, UK volume transactions increased by 18.3% in the year to December 2020.

UK Property Transaction Statistics published by HM Revenue & Customs (which differ in coverage but are more complete for this period) report that on a non-seasonally adjusted basis, UK volume transactions increased by 29.6% in the year to December 2020.

5. Property status for UK

Transactions involving the creation of a new register, such as new builds, are more complex and need more time to process. This means they can take longer to appear in the land registers. The volume of new build transactions for the most recent 2 months are not at a reliable level for reporting the breakdown between new build and existing resold property, so they are not included in the report.

New build and existing resold property

Property status Average price December 2020 Monthly change Annual change
New build £297,104 0.0% 7.2%
Existing resold property £247,203 0.8% 7.9%

Note: Since the October 2017 release, amendments have been made to our estimation model when calculating our provisional estimate. Find out further information and the impact of this change in the methods used to produce the UK HPI.

6. Buyer status for Great Britain

First time buyer and former owner occupier

Type of buyer Average price February 2021 Monthly change Annual change
First time buyer £210,560 0.4% 8.6%
Former owner occupier £290,627 -0.4% 8.7%

7. Funding status for Great Britain

Cash and mortgage

For Great Britain only, Northern Ireland data is not available for funding status.

Funding status Average price February 2021 Monthly change Annual change
Cash £238,614 0.1% 9.0%
Mortgage £260,772 -0.1% 8.5%

8. Access the data

Download the data as CSV files or access it with our UK HPI tool.

Data revisions

View any revisions to previously published data in the data downloads or find out more about revisions in our guidance About the UK HPI.

9. About the UK House Price Index

The UK House Price Index (UK HPI) is calculated by the Office for National Statistics and Land & Property Services Northern Ireland. Find out about the methodology used to create the UK HPI.

Data for the UK House Price Index is provided by HM Land Registry, Registers of Scotland, The Land & Property Services/Northern Ireland Statistics & Research Agency and the Valuation Office Agency.

Find out more about the UK House Price Index.

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