Colchester has seen a significant increase in house prices, surpassing both the regional and national averages. In August, house prices in Colchester rose by 0.6 per cent, bringing the average price to £309,760, according to new Land Registry figures.
This upward trend in property prices is part of a longer-term pattern, with prices in Colchester growing by 3.1 per cent over the past year, equivalent to an increase of £9,300. This annual rise is higher than both the East of England average of 1.4 per cent and the UK average of 2.8 per cent.
Despite the increase, buyers in Colchester paid 10 per cent less than the average price in the East of England, which stood at £344,000 in August. This can be attributed in part to the significantly higher prices in some areas of the region, such as St Albans, where houses sell for an average of £589,000, nearly double the price in Colchester.
Colchester now ranks 10th out of 45 local authorities in the East of England in terms of annual growth, a significant improvement from its position of 33rd just a few months ago. The highest annual growth in the region was seen in Broxbourne, with property prices increasing by 8 per cent to an average of £406,000, while Castle Point experienced a 6.8 per cent reduction, leading to an average price of £350,000.
First-time buyers in Colchester spent an average of £263,500 on their properties in August, which is £9,700 more than the previous year and £37,600 more than in August 2019. On the other hand, former owner-occupiers paid an average of £344,500 in August, marking a 30.7% increase compared to first-time buyers.
Among different types of properties, terraced houses in Colchester saw the largest increase in prices in August, rising by 0.9 per cent monthly and 3.9 per cent annually to reach an average value of £272,087. Detached houses experienced the smallest increase at 0.1 per cent monthly and 2.1 per cent annually, with an average price of £509,235. Semi-detached houses rose by 0.6 per cent monthly and 4.2 per cent annually, reaching an average price of £331,634. Flats also saw an increase, up by 0.9 per cent monthly and 2.4 per cent annually, with an average price of £177,087.
Overall, the housing market in Colchester is showing strong growth, outpacing both regional and national averages. With continued demand for properties in the area, it is likely that this trend will continue in the coming months.