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Town gloom on home costs
Saturday 12th September 2009, 11:36AM BST.
A Shropshire town was today named the worst in rural Britain for first-time buyers who want to get on to the property ladder.
Just nine per cent of Bridgnorth’s housing stock is available for first time buyers, compared with a national average of 27 per cent.
However, there is good news for one Shropshire district which has a high proportion of social housing.
About 19 per cent of north Shropshire’s housing stock is available to rent for people unable to buy, the sixth highest total in the UK.
The Halifax Rural Housing Survey showed that house prices in rural areas have fallen by less than in urban areas over the past year.
It says the average house price across rural Great Britain fell by 13 per cent over the past 12 months compared to an average 18 per cent drop in house prices in urban areas.
The average rural house price of £203,535 is now 21 per cent higher than the average urban house price of £168,376, compared to 15 per cent higher a year ago.
Today estate agent Nick Tart, who has an office in Bridgnorth, said there were a number of reasons why the town had a shortage of first- time buyer properties.
He said: “You have to take great care in accepting the validity of these surveys, because figures can occasionally be distorted.
“In Bridgnorth, for instance, our figure is much lower than the national average of £203,535.
“Entry level into a semi-detached, two-bedroomed house in good condition is about £145,000 now and would have been about £165,000 two years ago. In contrast with that, in Telford the equivalent house would be £90,000.”
Mr Tart added that availability of first-time buyer properties in Bridgnorth was poor because there was high demand and low supply.
He said: “There has been new affordable housing built in the last two years, but we’re unlikely to see much more for a couple of years.”
Suren Thiru, an economist at Halifax, said: “Homes in rural areas continue to command a marked premium over urban locations, partly reflecting the quality of life benefits that many people associate with living in the countryside.
“Higher prices, together with generally lower earnings, mean that housing in rural areas remains significantly less affordable than in urban areas.”
By Andy Richardson
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The more I read about the housing market, the less it seems that any of the so called “experts” out there have any real idea of what’s going on!
If Nick Tart says an entry level house in Bridgnorth is £20K cheaper now than 2 yearsa go, (165K-145K), but,
Then goes on to say that an equivalent house is 55K CHEAPER in Telford (90K) then what is he saying?
Is he saying that Bridgnorth is good for First time buyers becuase it’s 20K cheaper now, or is he saying it’s 50K worse than Telford??
At the end of the day …
Would you rather live in Bridgnorth, or in a “90K” part of Telford ??
I would say having lived in Bridgnorth for 33 years, that it has always “Bucked the Trend” becuase it is a desirable place to live, and is easy to commute to all the Major Towns (Telford – Wolverhampton, Shrewsbury, Kidderminster etc)
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