House prices increased by 2.6 per cent – more than the average for the North West – in Eden in August, new figures show.
The rise contributes to the longer-term trend, which has seen property prices in the area grow by 18.6 per cent over the last year.
The average Eden house price in August was £270,153, Land Registry figures show – a 2.6 per cent increase on July.
Over the month, the picture was different to that across the North West, where prices increased 0.4 per cent, and Eden was above the 0.9 per cent rise for the UK as a whole.
Over the last year, the average sale price of property in Eden rose by £42,000 – putting the area second among the North West’s 39 local authorities with price data for annual growth.
The highest annual growth in the region was in Fylde, where property prices increased on average by 18.7 per cent, to £256,000. At the other end of the scale, properties in Barrow gained 0.6 per cent in value, giving an average price of £141,000.
An imbalance between supply and demand for properties saw house prices climb across the UK throughout the pandemic.
But experts say expectations have changed significantly in recent weeks amid mortgage rate rises, with the likelihood of a dampening effect on house price growth.
According to figures from Moneyfacts.co.uk, the average two-year fixed-rate mortgage on the market has a rate of 6.52 per cent and the average five-year fix is at 6.36 per cent.
There are around 900 fewer mortgage products available than there were on the day of the mini-budget in September.
Chris Druce, senior research analyst at Knight Frank, said: “Current activity in the housing market is being shaped by mortgage status.
“Those that can are pushing on and securing deals ahead of further increases, while others have paused plans to digest events.
“With affordability set to be a growing barrier for many homebuyers in the coming months, we forecast house price growth will slow from here, with price falls in 2023.”
First steps on the property ladder
First-time buyers in Eden spent an average of £222,000 on their property – £35,000 more than a year ago, and £59,000 more than in August 2017.
By comparison, former owner-occupiers paid £307,000 on average in August – 38.2 per cent more than first-time buyers.
Property types
Owners of detached houses saw the biggest rise in property prices in Eden in August – they increased 2.7 per cent, to £390,791 on average. Over the last year, prices rose by 20.1 per cent.
Among other types of property:
- Semi-detached: up 2.5% monthly; up 19.1% annually; £256,666 average
- Terraced: up 2.6% monthly; up 17.3% annually; £210,603 average
- Flats: up 2.4% monthly; up 14.5% annually; £144,807 average
How do property prices in Eden compare?
Buyers paid 23.3 per cent more than the average price in the North West (£219,000) in August for a property in Eden. Across the North West, property prices are high compared to those across the UK, where the average cost £296,000.
The most expensive properties in the North West were in Trafford – £371,000 on average, and 1.4 times as much as more than in Eden. Trafford properties cost 3.1 times as much as homes in Burnley (£121,000 average), at the other end of the scale.
The highest property prices across the UK were in Kensington and Chelsea.
