Home prices in the United Kingdom have risen year after year.

According to data released today by the Office for National Statistics, home prices in the United Kingdom rose by 2.6 percent in April compared to the previous year, with London outpacing the rest of the world. shop for sale in qatar

England saw a 2.8 percent rise year over year, while Wales saw a 6.2 percent increase. A 1.2 percent drop in Scotland and a 0.8 percent drop in Northern Ireland helped to even things out. (However, prices in Ireland are falling at a slower rate.)

Overall, the housing market in the United Kingdom is recovering, with London leading the way, according to results. Housing demand in London is projected to outstrip supply, allowing home prices to continue to rise.

According to the ONS, the average home price in London rose by 6.0 percent to £414,000 in April from a year ago, relative to the UK average of £238,000.

Government initiatives aimed at rising lending and mortgage availability have boosted the housing sector in the United Kingdom.

According to David Newnes, director of LSL Property Services, "schemes like Help To Buy and Funding For Lending have behaved like an alprostadil infusion for the mortgage industry, making it markedly stronger than last year."

However, analysts say that real incomes are not keeping up with rising house prices. When this is combined with people's reluctance to sell for fear of missing a future profit, first-time home buyers are having a difficult time breaking into the market.

According to the ONS, the average home price charged by a first-time buyer in the UK was £179,000 in April, up 4.7 percent year on year.

 The average price for current owners was £273,000, reflecting a 1.9 percent annual rise.

Another indicator of the housing market's recovery is a new survey from Rightmove, which showed a 1.2 percent rise in U.K. home sellers' asking prices, raising rates above £250,000 for the first time, according to Bloomberg.

Housing demand in London is outpacing supply.

According to a recent Knight Frank survey, as the London housing market continues to thrive, demand for housing could outstrip supply by 48 percent over the next decade.

The firm estimates a 40 percent rise in the number of households projected to be generated between 2011 and 2021, reaching 525,790, based on new forecasts from the Department for Communities and Local Government and data from the 2011 census. However, the progress may not be sufficient to satisfy demand. According to the supply pipeline, 277,240 new units will be delivered during the next decade.

The census revealed an unexpectedly rapid rise in the population of London, which increased by 850,000 to 8.17 million people.

With growing demand and rates, the London housing market has outperformed the rest of the UK in the recovery from the financial crisis. According to the company, development activity has picked up, with £80 billion worth of property in the planning or building pipeline with a completion period between now and the end of 2022, based on current property prices.

Projects in the planning stages are included in the calculation.

"While we can't predict when developers will put schemes forward," Gráinne Gilmore, Knight Frank's head of UK Residential Research, said, "our judgments on schemes in the planning pipeline indicate that overall execution will not meet demand."

There is a chance of oversupply in some London areas, but the undersupply figures are a better reflection of the overall trend in the city, according to the firm.