House prices rise by nearly £100,000 in last decade despite ‘political uncertainty’
PUBLISHED: 05:30 30 July 2020
House prices in Suffolk have increased by nearly £100,000 in the past decade despite new figures showing that 2019 saw the lowest rise in seven years.
The figures, from the Office of National Statistics, show the average cost of a home in the county was £277,890 in 2019, up nearly £100,000 on the 2009 figure.
The average house price increased by £959 last year, the lowest rise since 2012.
However, despite prices reducing during parts of 2019, homes in Suffolk have still seen a steady rise since the 2008 financial crash.
Peter Ogilvie, from the residential team at Savills Ipswich, said: “Concerns around Brexit and the uncertainty caused by the run up to the general election will inevitably have slowed the market toward the end of 2019 – but even in a year of considerable political and economic uncertainty the market remained largely resilient.
“More recently the coronavirus pandemic understandably made buyers more cautious – with social distancing and self-isolation rules inhibiting the practicalities of buying and selling a house.
“But since lockdown restrictions were relaxed we have seen a large level of resolve return to the market.
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“The market is not falling over itself to pay over the odds and the biggest immediate challenge will be aligning buyer and seller expectations, especially in locations where activity has picked up the most.
“Right-pricing is key to sustaining current momentum, particularly given the prevailing economic uncertainty which may slow the market in the latter part of the year.”
Despite uncertainty in the past 12 months, the long-term picture shows that average house prices have increased by nearly 350% since 1999 at an average of £27 a day.
House owners may have seen their property increase by £200,000 in the past two decades, however in some areas of Suffolk, higher costs mean that locals are unable to get onto the housing ladder.
Dave Beaven, East Suffolk district councillor for Southwold said: “There was definitely a hit to the housing market last year due to Brexit and there has been a dip due to Covid.
“The main concern in Southwold is that the house price to wage ratio is about 15 to one.
“Sadly local people won’t necessarily benefit from a small drop in housing prices.”
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