Shropshire house price growth falls behind average

Prices around the UK grew by 0.5 per cent on a month-to-month basis in August, taking the average UK property value to £226,000 – some £11,000 higher than a year before.

That marked a five per cent year-on-year increase, but Shropshire's figures were behind the UK as a whole.

In Shropshire Council's area, prices rose by 0.2 per cent in August, leaving them 2.67 per cent ahead of a year ago at £205,047.

That was a decline compared with July, when prices grew by 1.01 per cent.

Telford & Wrekin experienced a similar slowdown in what is typically a sluggish month for the housing market, as many people are on holiday and begin to put their properties back on the market in September.

The borough saw the monthly price increase slow from 1.31 per cent in July to 0.31 per cent in August. At £155,060, prices are 2.38 per cent ahead of a year ago.

Powys slowed from growth of 3.02 per cent to 0.86 per cent between July and August, meaning prices are now 4.71 per cent ahead of a year ago at £176,216 in the Mid Wales county.

Howard Archer, chief economic adviser at EY ITEM Club, said: "Housing market activity has picked up from the lows seen around mid-2017 but is still hardly buoyant."

He added: "We see house prices being muted over the fourth quarter and then rising a modest two to three per cent in 2018.

"The fundamentals for house buyers are likely to remain challenging over the coming months, with consumers' purchasing power continuing to be squeezed by inflation running higher than earnings growth.

"Additionally, housing market activity is likely to be hampered by fragile consumer confidence and limited willingness to engage in major transactions."

Across the regions, the north west of England showed the highest annual growth, with prices increasing by 6.5 per cent to reach £160,000 on average in August.

This was followed by the East of England, East Midlands and South West, where prices all increased by 6.4 per cent annually.