Residential property prices in England and Wales fell by 1% between December and January, according to the latest data from the UK Land Registry’s flagship House Price Index.

It takes the average property value in England and Wales to £161,545. The region in England and Wales which experienced the highest increase in its average property value over the last 12 months is London with a movement of 2.9%. London also experienced the greatest monthly rise with a movement of 2.5%.

The North East experienced the greatest annual price fall with a decrease of 4.5%. The North West saw the most significant monthly price fall with a decrease of 2.1%.

The most up to date figures available show that, during November 2011, the number of completed house sales in England and Wales increased by 3% to 57,967 compared to 56,312 in November 2010.

The number of properties sold in England and Wales for over £1 million in November 2011 decreased by 4% to 524 from 548 in November 2010.

Meanwhile, a separate report shows that Wales is the only region in Great Britain other than London where prices have increased annually as transactions increase by 1% in December compared to November.

The LSL index shows that the average house price in Wales in December 2011 was $154,409, some 0.3% higher than the previous month and 1.6% higher annually, according to property wire.

‘Wales’ housing market is almost in a league of its own in Great Britain, bucking the wider trend of gradual house price decline seen in England and Scotland in 2011. In fact, outside of Wales, only London home owners also saw their houses rise in value last year,’ said Nigel Favas, managing director of Reeds Rains estate agents, part of LSL.

‘But it wasn’t just prices that showed a positive trend at the end of the year, transactions did so too. In December, we already began to see an increase from first time buyers who had suitable deposits and were looking to buy upper end properties before the end of the stamp duty holiday in March,’ he explained.

‘This added activity has helped boost transactions, and is likely to continue to filter through into spring activity levels. While the re-imposition of stamp duty has been an added incentive for many to move quickly, it is unlikely to deter first timers in the medium term. With much lower average house prices than in many other regions in the UK, the majority of first time buyer properties are likely to fall under the £125,000 threshold and, therefore, to still be exempt,’ he added.