HOUSE prices dropped by two per cent in Teignbridge in April, new figures show.
But the drop hasn’t reversed the longer-term trend, which has seen property prices in the area grow by 10.6 per cent over the last year.
An imbalance between supply and demand for properties has remained the primary reason behind climbing house prices across the UK throughout the pandemic.
The need for larger deposits and constraints on accessing mortgages have pushed homeownership further out of reach for many first-time buyers – despite Government figures showing 50 per cent of renters would be able to afford the monthly payments.
Prime Minister Boris Johnson announced a “comprehensive review” of the mortgage market would take place in a bid to help more people onto the property ladder.
The average Teignbridge house price in April was £303,393, Land Registry figures show – a two per cent decrease on March.
Over the month, the picture was different to that across the South West, where prices increased 1.9 per cent, and Teignbridge was lower than the 1.1 per cent rise for the UK as a whole.
Over the last year, the average sale price of property in Teignbridge rose by £29,000 – putting the area 23rd among the South West’s 29 local authorities with price data for annual growth.
The highest annual growth in the region was in North Devon, where property prices increased on average by 20.8 per cent, to £333,000. At the other end of the scale, properties in West Devon gained just four per cent in value, giving an average price of £289,000.
First-time buyers in Teignbridge spent an average of £246,000 on their property – £23,000 more than a year ago, and £59,000 more than in April 2017.
By comparison, former owner-occupiers paid £342,000 on average in April – 39.1 per cent more than first-time buyers.
Owners of flats saw the biggest fall in property prices in Teignbridge in April – they dropped 2.4 per cent in price, to £162,284 on average. But over the last year, prices rose by 5.6 per cent.
The most expensive properties in the South West were in the Cotswolds – £471,000 on average, and 1.6 times as much as more than in Teignbridge. Cotswold properties cost 2.2 times as much as homes in Plymouth (£216,000 average), at the other end of the scale.