Welsh house prices rise £3,500

Vale of Glamorgan tops list of highest price rises as two tier market becomes apparent

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The Independent Online

While the overall increase in house prices for the Principality is 2.4%, there are some large regional differences, according to a new report from property experts LSL.

The largest rise in house prices was in the Vale of Glamorgan where it was up just over 18%, followed by Cardiff (5.2%). The biggest fall was in Blaenau Gwent where it went down 8.6%.

“Lower house prices in Wales have made it comparatively easier for first time buyers to get on the housing ladder than in England," said Nigel Favas, managing director of Reeds Rains estate agents, part of LSL.

"Predominantly, though, it is wealthier buyers and equity-rich retirees who are sustaining sales levels, which has helped nudge up prices. It’s created a two tier market where prices tend to vary regionally depending on the number of wealthier buyers. Prices have held up well, and even seen significant increases, in areas with plenty of wealthier buyers, but have fallen in areas with more first time buyers.

"Houses prices at a local level will be closely tied to the performance of their immediate economies. With unemployment set to rise further, house price growth could prove elusive.”