Ask for a property costing less than £100,000 in the UK, and you are more likely to be laughed out of your estate agent’s office, with the kind recommendation of not letting the door hit you on your way out.
But in the county borough of Blaenau Gwent in south Wales, this distant dream is a reality. Costing just £97,147 on average, Blaenau Gwent in the north Gwent valleys includes the towns of Ebbw Vale, Abertillery, Brynmawr, Tredegar, Nantyglo and Blaina. It is the only local authority out of a total of 348 in England and Wales to have the average value of homes sold not exceed £100,000 – a threshold crossed by every London borough more than a decade ago.
While the property prices in the country’s capital exceeded £100,000 by 2002, the average residential sale price across every London borough surpassed the £300,000 cutoff by the end of 2017. Whereas the Royal Borough of Kensington and Chelsea, where the average price is now in excess of £2 million, struck the £300,000 price point 20 years ago.
The research, conducted by the property group Savills, used Land Registry data, that also emphasized the price divide in the UK housing market. A clear indication of the underlying economic factors that reduce social mobility and propagate the unequal division of housing wealth among the populace.
Savills further anticipated that even if the house price growth continues at the same rate it has done over the last two decades, the average property price in all local authorities will reach £200,000 in 2036. Although it is reasonable to note that it is an unlikely scenario, given the current restrained atmosphere of the housing market.
The Telegraph recently reported on RICS monthly residential market survey, which found that a shortage of new buyer enquiries, new instructions and newly agreed sales continued to be the dominant trend in the property market. New buyer enquiries were also reported to have plunged for the eleventh consecutive month, with 16pc more survey respondents witnessing a fall rather than rise in new customers, while the number of agreed sales were also falling behind.