House prices continue to slide except in London

Prices are likely to continue their "slow, downward grind" in the coming months, analysts said, as Land Registry figures showed a 1pc annual drop across England and Wales in April to reach £160,417 on average, continuing an unbroken negative trend stretching back as far as January last year. Meanwhile, house prices in London increased by 5.1pc both annually and month on month to reach £360,721. The capital city has not seen a year-on-year decline since September 2009. The "safe haven" of London is enjoying strong interest from overseas buyers as the eurozone crisis continues. A separate report published by Hometrack yesterday found that demand from buyers registering with estate agents has outpaced the number of homes coming to the market in the capital over the last three months. The Hometrack study also said that much of London's recent price rises have also come from the largely domestic markets of south west, south east and north London. The latest dip across the country also follows the ending of a stamp duty concession for first-time buyers in March, which saw a last-minute rush of people trying to snap up deals before the deadline ended.