Shropshire house price growth still lagging behind rest of UK

The latest monthly figures from the Office for National Statistics show that the average property in Shropshire is now worth £199,053, while in Telford & Wrekin the figure stands at £153,811.

That comes after increases over the last year of 4.5 and 4.7 per cent respectively – both of which are below the national rate of growth of 9.2 per cent, which means England's average house price is now £235,573.

However, Bill Brookes, from Shropshire estate agents DB Roberts, said he took the figures with a pinch of salt.

Sales, he said, still depended on members of the public being able to afford their mortgage, and that meant price growth was more subdued than the official figures suggest.

"I would treat them with some caution," he said. "I would say prices have increased by no more than 1.5 to two per cent.

"Asking prices are well up, but are not necessarily being achieved, and don't expect a substantial change into the new year.

"There will be pressure on the prices because of what is coming to the market, but at the end of the day people are not willing to pay the higher prices, and if they can't get the mortgage they are not able to pay them."

Mr Brookes said the official figures may be influenced by issues such as the valuation of properties in part-exchange deals.

He added: "The overall picture is that there's generally a shortage of property coming onto the market, and all the agents are experiencing this."

Mr Brookes also warned that further devaluation of the pound in the spring could further impact on prices.

"The worst thing for the market is uncertainty," he said." We have got more of that now than we had all through the economic crisis."

Powys has seen slower growth than Shropshire, the Office for National Statistics figures showed, rising by 2.2 per cent since last August to an average of £167,189.

The average UK house price increased by 8.4 per cent in the 12 months to August, continuing a strong run of growth, according to an official report.

In England, London continues to be the area with the highest average house price at £489,000, while the lowest average price continues to be in the North East at £127,000.