The North South divide is expanding by Finance News Bulletin

Published: 15/12/07

Rampant house price inflation has expanded the North South split with average properties in London contravention the £300,000 barrier – double the cost of a house in the NorthA NATION alienated: The cost of a home in London is more than twice that in the north of BritainWhat's the property gossip See what This is Money readers have to speak and share your views on the message boards

that's the caution from one economist Read the report and link the 'reader comments' debate: Property crashThe buy-to-let bubble is set to rupture, says a appreciated City analyst Read the report and have your say: Buy-to-letThe latest periodical regional house price report by the Halifax has revealed that the cost of an average house in London rose by 4

9% to £313,000, between April and JuneThis is more than twice the cost of a property across the North of England, where 'standard' homes cost £155,000, those in Yorkshire and the Humber cost £149,000 and those in the North West price £152,000Greater London has seen prices rise by 184% over the past year, approaching the cost of a home further out of reach for unparalleled buyers and young families

At the same occasion average house prices in the South East passed the £250,000 mark to place at £260,000Northern Ireland, where prices have risen by a staggering 47% over the history year, saw the highest house price price rises in the three months to the end of June, with the average house rising by 85% to hit £228,790The fast rise in prices there has been fuelled by investment spilling over the border from the state of Ireland, however with the Irish property marketplace faltering, experts predict growth in Northern Ireland will slow

In England, price rises of 43% in the North pressed house prices in the region above £150,000 for the first occasion to £155,000Yorkshire and the Humber, where three-month inflation was 23%, is the only region in England where the average house costs less than £150,000, although only fractionally so at £149,000 Scotland, with three-month price rises of 0

6%, is the only other place in Britain where homes price below £150,000 - with an standard of £140,000Signs that the market is cooling outside hotspot areas continued, with some regions redistribution falls between April and June Prices slipped by 28% in Wales, 1

1% in the West Midlands and 04% in the South WestOne-bedroom flats in many parts of London now cost more than the 3% stamp duty doorsill (£250,000), forcing first-time buyers to hand over at least £7,500 in dutyMeanwhile, the cost of a patio house in many areas has gone past the £500,000 mark at which trample duty hits 4%, forcing families to disburse at least £20,000 when they buy

Tim Crawford, Halifax group economist, supposed that if stamp duty thresholds had risen in row with house prices since 1997, the present £250,000 and £500,000 thresholds would stand at £720,000 and £1,440,000 respectivelyHe said: 'The typical homebuyer in London and the South East, in exacting, faces a rising tax burden due to the government's continuing failure to increase the inheritance duty and trample duty thresholds in line with house price inflation'HALIFAX local HOUSE PRICES APRIL - JUNE 2007RegionAverage priceThree-month % changeAnnual % changeHere's one "North-South split" issue you won't hear Northerners whinge on top of and on top of and on top of aboutSelect a loan term 12 months (1 year) 24 months (2 existence 36 months (3 existence 48 months (4 existence 60 months (5 existence 72 months (6 years) 84 months (7 years) 96 months (8 existence 108 months (9 existence 120 months (10 existencePlease select a type of insurance Life insurance Home and inside Car Breakdown services Health - medical Health - dental journey

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