HOUSE prices increased by 1.4 per cent in Bromsgrove in August, new figures show.

The rise contributes to the longer-term trend, which has seen property prices in the area grow by 10.4 per cent over the last year.

The average Bromsgrove house price in August was £359,878, Land Registry figures show – a 1.4 per cent increase on July.

Over the month, the picture was different to that across West Midlands, where prices decreased 0.2 per cent, and Bromsgrove 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 Bromsgrove rose by £34,000 – putting the area 28th among West Midlands’s 30 local authorities with price data for annual growth.

Bromsgrove Advertiser: Money. Money. (Image: Newsquest)

The highest annual growth in the region was in Stafford, where property prices increased on average by 18.3 per cent, to £274,000.

At the other end of the scale, properties in North Warwickshire gained 7.8 per cent in value, giving an average price of £255,000.

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 on October 19, 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 around 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.”