West Lindsey house prices dropped slightly in May

House prices dropped slightly, by 0.3%, in West Lindsey in May, new figures show.

File photo dated 14/10/14 of a sold and for sale signs. A gradual slowdown in the housing market in Scotland is likely as the cost-of-living crisis bites, a report has warned. House prices in Scotland continue to edge upwards but indicators are softening slightly, according to the Royal Institution of Chartered Surveyors (Rics) latest survey. Issue date: Thursday May 12, 2022.
File photo dated 14/10/14 of a sold and for sale signs. A gradual slowdown in the housing market in Scotland is likely as the cost-of-living crisis bites, a report has warned. House prices in Scotland continue to edge upwards but indicators are softening slightly, according to the Royal Institution of Chartered Surveyors (Rics) latest survey. Issue date: Thursday May 12, 2022.

House prices dropped slightly, by 0.3%, in West Lindsey in May, new figures show.

But the drop does not reverse the longer-term trend, which has seen property prices in the area grow by 12.6% over the last year.

The average West Lindsey house price in May was £212,711, Land Registry figures show – a 0.3% decrease on April.

Over the month, the picture was different to that across the East Midlands, where prices increased 1.9%, and West Lindsey was lower than the 1.2% rise for the UK as a whole.

Over the last year, the average sale price of property in West Lindsey rose by £24,000 – putting the area 20th among the East Midlands’s 35 local authorities with price data for annual growth.

The highest annual growth in the region was in Harborough, where property prices increased on average by 22.7%, to £386,000. At the other end of the scale, properties in Rutland lost 6% of their value, giving an average price of £341,000.

An imbalance between supply and demand for properties has remained the primary reason behind climbing house prices across the UK throughout the pandemic.

But activity is starting to slow, with soaring inflation putting household budgets under pressure.

Sarah Coles, senior personal finance analyst at financial advice company Hargreaves Lansdown, said:“The average house price hit another record high in May, and rose faster than any time since the peak in June last year.

"However, we’re starting to see small changes in the market, which are likely to mean weaker growth in the coming months, especially if interest rates are hiked in August."

First steps on the property ladder

First-time buyers in West Lindsey spent an average of £178,000 on their property – £20,000 more than a year ago, and £42,000 more than in May 2017.

By comparison, former owner-occupiers paid £238,000 on average in May – 33.8% more than first-time buyers.

Property types

Owners of flats saw the biggest fall in property prices West Lindsey in May – they dropped 0.6% in price, to £104,568 on average. But over the last year, prices rose by 7.1%.

Among other types of property:

Detached: down 0.3% monthly; up 13.3% annually; £282,680 averageSemi-detached: down 0.4% monthly; up 12.8% annually; £181,288 averageTerraced: down 0.1% monthly; up 11.3% annually; £146,289 average

How do property prices in West Lindsey compare?

Buyers paid 12.8% less than the average price in the East Midlands (£244,000) in May for a property in West Lindsey. Across the East Midlands, property prices are lower than those across the UK, where the average cost £283,000.

The most expensive properties in the East Midlands were in Harborough – £386,000 on average, and 1.8 times as much as more than in West Lindsey. Harborough properties cost 2.3 times as much as homes in Bolsover (£168,000 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 May

West Lindsey: £212,711The East Midlands:£244,060UK: £283,496

Annual growth to May

West Lindsey: +12.6%The East Midlands: +15.2%UK: +12.8%

Highest and lowest annual growth in the East Midlands

Harborough: +22.7%Rutland: -6%