London average home price hits £541,313, up 11.2%

Did somebody say bubble? The asking price for an average London home has shot up to £541,313, up 11.2% over the past year, according to data from Rightmove.

This rate of growth far surpasses average asking price growth across the rest of England and Wales – even though the average house price in England and Wales has grown at its quickest rate in six years.

The average house price for England and Wales in February now stands at an average of £251,964, up 3.3% on January, Rightmove said.

The average house price in England and Wales has risen by 6.9% over the past year, according to Rigthmove.

Rightmove director Miles Shipside said: “The housing market can only help to support a wider economic recovery if there is a sustained boost to property supply and not just buyer demand, and there is some early evidence that this is happening.

“However, supply and demand imbalances remain and are getting worse in many markets, as a result of years of under-provision of additional housing stock, especially in the areas where the