House prices increased by 3.9% – more than the average for West Midlands – in North Warwickshire in May, new figures show.
The rise contributes to the longer-term trend, which has seen property prices in the area grow by 23.1% over the last year – the highest in West Midlands.
The average North Warwickshire house price in May was £266,409, Land Registry figures show – a 3.9% increase on April.
Over the month, the picture was different to that across West Midlands, where prices increased 2.2%, and North Warwickshire was above the 1.2% rise for the UK as a whole.
Over the last year, the average sale price of property in North Warwickshire rose by £50,000 – putting the area top among West Midlands’s 30 local authorities with price data for annual growth.
At the other end of the scale, properties in Solihull gained 5.8% in value, giving an average price of £320,000.
An imbalance between supply and demand for properties has remained the primary reason behind climbing house prices across the UK throughout the pandemic.
But activity is starting to slow, with soaring inflation putting household budgets under pressure.
Sarah Coles, senior personal finance analyst at financial advice company Hargreaves Lansdown, said:“The average house price hit another record high in May, and rose faster than any time since the peak in June last year.
"However, we’re starting to see small changes in the market, which are likely to mean weaker growth in the coming months, especially if interest rates are hiked in August."
First steps on the property ladder
First-time buyers in North Warwickshire spent an average of £225,000 on their property – £42,000 more than a year ago, and £59,000 more than in May 2017.
By comparison, former owner-occupiers paid £298,000 on average in May – 32.3% more than first-time buyers.
Owners of terraced houses saw the biggest rise in property prices in North Warwickshire in May – they increased 4.3%, to £205,540 on average. Over the last year, prices rose by 21.8%.
Among other types of property:
Detached: up 3.6% monthly; up 25.2% annually; £416,279 averageSemi-detached: up 3.9% monthly; up 23.5% annually; £256,532 averageFlats: up 3.6% monthly; up 17.2% annually; £153,150 average
How do property prices in North Warwickshire compare?
Buyers paid 7.8% more than the average price in West Midlands (£247,000) in May for a property in North Warwickshire. Across West Midlands, property prices are higher than those across the UK, where the average cost £283,000.
The most expensive properties in West Midlands were in Stratford-on-Avon – £384,000 on average, and 1.4 times as much as more than in North Warwickshire. Stratford-on-Avon properties cost 2.8 times as much as homes in Stoke (£139,000 average), at the other end of the scale.
The highest property prices across the UK were in Kensington and Chelsea.
Average property price in May
North Warwickshire: £266,409West Midlands:£247,162UK: £283,496
Annual growth to May
North Warwickshire: +23.1%West Midlands: +14%UK: +12.8%
Highest and lowest annual growth in West Midlands
North Warwickshire: +23.1%Solihull: +5.8%