House prices in Wales have reached a record high and breached £200,000 for the first time, following double-digit inflation in the past year, according to new figures.
Average prices have risen 14.8 per cent during the past year to reach £204,148, the data from one of Britain’s biggest lenders Halifax shows – the strongest growth of any region.
This is a situation that will cause problems for many Welsh first-time buyers and homeowners wanting to move home, as it stretches affordability and a good chunk of the inflation is likely to be driven by money from elsewhere in the country flowing into second homes in Wales.
So what can buyers get for that £200,000, we take a look at five homes for sale in Wales at round that mark and get an expert view on why prices are rising there.
Region change in house prices during the past year, with Wales leading the way with a 14.8 per cent rise
The appeal of Wales has been driven by buyers seeking more space indoors and outdoors amid the pandemic, according to experts.
However, they added that average house prices in Wales remain considerably lower than in some parts of the country, including in the South East and London.
Tomer Aboody, of lender MT Finance, said: ‘Wales may have seen the highest growth in property prices across the country and London the lowest but this has to be put into perspective.
‘Wales is at the lower end of the value spectrum and therefore more affordable in the first place. Any rise in prices has been more visible and significant than elsewhere.
‘With average prices above £200,000 for the first time, while this is a significant benchmark for Wales, it is still well below the average of £521,129 in London. Despite more subdued growth in the capital, London remains out of reach for many buyers.’
However, he added: ‘That said, changing buyer sentiment and desire for more green space has definitely played a part in the increase in interest in areas such as Wales, helping push up prices.
‘With more space still the main requirement for buyers, and quality homes and locations most in demand, while Wales may not have been considered before, it is an increasingly feasible option.
‘With a daily commute to the office no longer required, more remote areas are opening up to buyers with the added benefit of enabling budgets to stretch further.’
We look at five Welsh homes for sale costing £205k…
1. Three-bed townhouse, Pembroke, Pembrokeshire
This townhouse in Pembroke, Pembrokeshire, is being sold by estate agents John Francis
The kitchen at the Pembrokeshire property overlooks garden, which is south-facing
This terrace townhouse overlooks Pembroke Castle, and is within walking distance of Pembroke town centre.
The property has a south-facing garden and parking at the front, as well as three bedrooms. It is being sold via estate agents John Francis.
2. Three-bed terrace house, Treharris, Merthyr Tydfil
This modern family home is in the Merthyr Tydfil town of Treharris and is being sold by Bayside Estates
The family home has a neutral-coloured kitchen with space for a small table and chairs
This modern family home is in the Merthyr Tydfil town of Treharris and comes with three bedrooms.
The terrace house is being sold via estate agents Bayside Estates.
3. Three-bed house, Newport
This semi-detached house in Newport is being sold by Freelancer Lets and Sales
The Newport property has three bedrooms as well as a spacious living area with a fireplace
This semi-detached house in Newport boasts three bedrooms and the River Usk nearby. It is being sold by Freelancer Lets and Sales.
4. Two-bed bungalow, Tredegar, Blaenau Gwent
This bungalow is in Tredegar, a town in the county of Blaenau Gwent, and is being sold via Louvain Properties
The Tredegar property has two bedrooms and a good-sized kitchen with a large window
This bungalow is in Tredegar, a town on the banks of the Sirhowy River in the county of Blaenau Gwent.
The two-bedroom property is a two minute drive to the A465, which links to the A470 and Cardiff. It is being sold via Louvain Properties.
5. Three-bed maisonette, Monmouth, Monmouthshire
This three-bedroom maisonette in Monmouth is being sold by DJ&P estate agents
The property is across two floors and includes a cellar, but does require some updating
This three-bedroom maisonette in Monmouth is across two floors and includes a cellar, but requires updating. It is being sold by DJ&P estate agents.