Mansfield house prices increased more than East Midlands average in August

The rise contributes to the longer-term trend, which has seen property prices in the area grow by 18.4 per cent over the last year.

The average Mansfield house price in August was £187,485, Land Registry figures show – a 2.9 per cent increase on July.

Over the month, the picture was different to that across the East Midlands, where prices increased 2.3 per cent, and Mansfield was above the 0.9 per cent rise for the UK as a whole.

Over the last year, the average sale price of property in Mansfield rose by £29,000 – putting the area third among the East Midlands’s 35 local authorities with price data for annual growth.

The highest annual growth in the region was in South Derbyshire, where property prices increased on average by 19.3 per cent, to £258,000. At the other end of the scale, properties in Chesterfield gained 9.6 per cent in value, giving an average price of £198,000.

An imbalance between supply and demand for properties saw house prices climb across the UK throughout the pandemic.

But experts say expectations have changed significantly in recent weeks amid mortgage rate rises, with the likelihood of a dampening effect on house price growth.

According to figures from Moneyfacts.co.uk on Wednesday, the average two-year fixed-rate mortgage on the market has a rate of 6.52 per cent and the average five-year fix is at 6.36 per cent.

There are about 900 fewer mortgage products available than there were on the day of the mini-budget in September.

Chris Druce, senior research analyst at Knight Frank, said: “Current activity in the housing market is being shaped by mortgage status.

“Those that can are pushing on and securing deals ahead of further increases, while others have paused plans to digest events.

“With affordability set to be a growing barrier for many homebuyers in the coming months, we forecast house price growth will slow from here, with price falls in 2023.”

First steps on the property ladder

First-time buyers in Mansfield spent an average of £165,000 on their property – £25,000 more than a year ago, and £53,000 more than in August 2017.

By comparison, former owner-occupiers paid £206,000 on average in August – 24.8 per cent more than first-time buyers.

Property types

Owners of detached houses saw the biggest rise in property prices in Mansfield in August – they increased 2.9 per cent, to £270,271 on average. Over the last year, prices rose by 19.8 per cent.

Semi-detached homes were up 2.8 per cent monthly and 18.3 per cent annually to an average of £175,507, while terrace homes were up 2.8 per cent monthly and up 17.1 per cent annually, to an average of £136,457.

The average price of a flat is now £99,760, following a 2.8 per cent rise in the last month, up 16.5 per cent annually.

How do property prices in Mansfield compare?

Buyers paid 26.5 per cent less than the average price in the East Midlands of £255,000 in August for a property in Mansfield. Across the East Midlands, property prices are low compared to those across the UK, where the average cost £296,000.

The most expensive properties in the East Midlands were in Rutland – £393,000 on average, and 2.1 times as much as more than in Mansfield. Rutland properties cost 2.2 times as much as homes in Bolsover – £178,000 average – at the other end of the scale.

The highest property prices across the UK were in Kensington and Chelsea.

Factfile

Average property price in August

Mansfield: £187,485;

The East Midlands:£255,114;

UK: £295,903,

Annual growth to August

Mansfield: 18.4 per cent;

The East Midlands: 16.9 per cent;

UK: 13.6 per cent,

Highest and lowest annual growth in the East Midlands

South Derbyshire: 19.3 per cent;

Chesterfield: 9.6 per cent.