House prices in Cardiff increase over 5%
The latest agent index has revealed that the average price of a home across Wales and England collectively increased by 0.5% in February, taking the average price of a property to £302, 435.
This was the third month in a row that house prices have increased, though they are still down 0.5% when compared with property prices in February 2018, according to data published in the Your Move index.
Overall, the property market remains relatively subdued with an estimated 59,100 sales taking place throughout February 2019. The report highlights that the challenges of affordability from a decade of rising house prices along with sluggish wage growth across Wales and England is the reason for a slowdown in sales. They say the good news is that there could be a long-term benefit to the property market if there is a short slowdown in house prices that’s combined with increases in pay.
Considerable regional variations, but Wales on top
There are considerable regional variations in house prices and the way in which they fluctuate, with Wales experiencing the strongest annual growth of 3%.
Cardiff led the way for Wales with a significant 5.3% rise, while price falls were largely recorded in the South of England where prices decreased 1.7% year on year in the South East, decreased 1% in the East of England and decreased 1.5% in London.
Following Wales, the strongest growth year on year was in the West Midlands, with property prices increasing 1.7%. Prices in the North West increased 1.3%, and properties in the East Midlands increased by 0.8%. The North East saw house prices fall on an annual basis by an average of 1.6%.
Down in the South East, some locations saw huge growth with prices up as much as 7% on the Isle of Wight, and up 4.2% in the port city of Southampton. There was also strong growth along the South coast, with Brighton reporting an impressive 7.3% increase.
Just over the bridge from Wales, Bristol experienced a new peak average price despite the rise being just 0.3%, while Gloucestershire saw prices increase by 3.8% and Somerset by 3.9%. This contrasted with large decreases nearby, with prices falling by as much as 10.2% in Bath, North East Somerset and North Somerset.
Like Bristol, Manchester also reported a new peak average price in February where house prices increased 3.1% in the last year, but the East Midlands and Yorkshire and the Humber each experienced growth fall below 1%.
Majority of local authorities recorded house price rise
The index data also shows that up in the North East house prices fell by 7.3% in Cleveland and were down by 6.5% in Middlesbrough. Outside these areas prices continued to grow, and 59 out of 108 local authorities saw average property prices rise, though in the main these were very modest increases.
Overall, the report reveals a very mixed picture, showing that in certain areas, Wales included, there is still healthy continued growth in house prices. Across parts of Wales and England a strong demand for property remains, and there is still a need for more homes to come onto the market despite the challenging times.
Are you looking to buy or sell a property in Cardiff? If so, here at CPS Homes we are proud to be Cardiff’s largest letting and estate agent, and our team of experts are here to help you every step of the way. Contact us today by calling 02920 668585, e-mailing enquiries@cpshomes.co.uk or by popping into one of our three Cardiff branches.
