UK house prices: Country property prices are much higher than those in the city

Rural house prices are a fifth more expensive those in cities outside London, according to the Halifax.

The average country house price is £263,050, compared with the average urban price of £218,596.

The biggest difference is in the West Midlands, where prices are almost 50 per cent more.

“Homeowners looking to escape to the country can expect to pay an average premium of 20 per cent for a property,” said Halifax mortgages director Richard Washington.

Meanwhile, the ratio of wages to house prices is also worse in the countryside. Property prices are 7.6 average earnings, compared with 6.5 times in towns and cities outside of London.

Read more: London house prices have fallen for the first time in eight years

Britain’s top five least affordable countryside areas

Local Authority District

House Prices 2017 (£)

Average earnings 2017 (£)

Price to Earnings ratio

North Dorset

361,603

31,723

11.4x

Chichester

411,547

38,004

10.8x

West Oxfordshire

355,215

35,763

9.9x

Cotswold

368,454

37,643

9.8x

Horsham

395,022

40,732

9.7x

Washington said: “Housing affordability, particularly in the south of England, is putting a country home out of reach for many people, especially those looking to buy their first property.

“Those desperate to get onto the housing ladder are more likely to eye up a property in an urban area. First-time buyers account for 41 per cent of all mortgage financed purchases in rural areas, compared to 53 per cent in urban areas. Affordability is the main reason for the lower proportion of first-time buyers in the countryside, Halifax said.

“This is reflected in first-time buyers accounting for a smaller proportion of homebuyers in the countryside relative to urban areas.”

Read more: Mortgage approvals jump by almost eight per cent in August

Rural versus urban house prices

Average price 2017

Premium

Region

Rural (£)

Urban (£)

Difference (£)

%

North East

169,232

151,067

18,165

12%

North West

231,413

173,683

57,730

33%

Yorkshire and The Humber

216,401

164,365

52,036

32%

East Midlands

239,901

184,475

55,426

30%

West Midlands

280,776

191,504

89,272

47%

East of England

332,822

305,057

27,765

9%

South East

416,521

331,516

85,005

26%

South West

296,273

240,650

55,623

23%

Scotland

185,713

166,696

19,017

11%

Wales

183,067

162,986

20,082

12%

Great Britain excluding London

263,050

218,596

44,454

20%