UK March home prices up for 15th straight month

[LONDON] UK house prices rose for a 15th month in March as values in London climbed to more than double the national average, according to Nationwide Building Society.

The average price of a home gained 0.4 per cent from February to £180,264 (S$378,095), about 3 per cent below its 2007 peak, the Swindon, England-based lender said in an e-mailed report. Values in the capital at the end of the first quarter were 20 per cent above their previous record at an average of £362,699.

A property-market revival fuelled by strengthening economic growth, record-low borrowing costs and official incentive programmes prompted financial-stability officials to warn last month that they're ready to take action should signs of overheating emerge. London home prices have also been boosted by cash-rich foreign buyers seeking safe assets.