The Land Registry has published its latest quarterly residential property price report, which shows that the average price of property in England & Wales increased by 8.46% from £109,558 in 2000 to £118,827 for the same period in 2001.

Despite the turbulent times in the world economy, it was an incredibly busy period for the market, with the volume of sales increasing by 20.54% from 236,985 in 2000 to 285,653 for the same period in 2001, with all economic regions in England and Wales showed an increase in average prices for the period.

However, there was strong evidence of the difficulty that London buyers are having in affording prices in the capital. The growth in London property values was the lowest of any region in England and Wales, with the average property price increasing by just 3.9% from £195,868 in 2000 to £203,499 for the same period in 2001. The volume of sales was also down, increasing by 17.89% from 30,205 in 2000 to 35,608 for the same period in 2001, with 305 properties over £1 million sold during the period.

The biggest price gains were seen in East Anglia, where the average cost of a house rocketed up by more than 18% to £112,172, followed by the East Midlands, where values rose by 12.6% to £86,458. Homes in the South West also increased at a double digit rate, as did prices in Wales and the West Midlands.

Average price by country and region: