Honiton: House prices in the South West are rising fast

House prices in the UK are rising at the fastest annual rate for 17 years, and they are rising the fastest in the South West of England.

In January, the region saw the largest month-on-month increase in average house prices with prices rising by 12.9%, higher than all other areas in the UK.

According to The Office of National Statistics, the average UK house price was £271,000 in November 2021, which is £25,000 higher than in November 2020.

Throughout the pandemic, the prices of homes have risen much more steeply than wages, leaving people struggling to get on the housing ladder or move house.

Interest rates have just been increased again by the Bank of England which will make it even harder to get a mortgage.

Reduced affordability may dampen demand and cause a slow in the rise of housing costs, but this is not guaranteed.

The average price of a home in Honiton is £223,508 and £307,138 in Exeter. As a comparison, the average home in the city of Durham costs £200,989.