House prices are growing faster in Cambridge than in London
If you've ever worried about getting on the housing ladder in London, spare a thought for the people of Cambridge.
House prices in Britain's 20 biggest cities are showing double-digit growth in April – and prices in the commuter city of Cambridge are growing faster than in London.
A report from Hometrack says that London house prices have grown 14.4 per cent year-on-year, compared to 15.8 per cent in Cambridge.
The average house price inflation in the first quarter was 10.4 per cent, up from 6.6 per cent in April 2015, when growth slowed due to uncertainty over the 2015 General Election.
However, the average house price in London is still higher – £466,000 compared to an average house price of £411,900 in Cambridge.
Read more: Don't blame empty foreign-owned apartments for London's housing crisis
The report also said that if Britain votes to leave the EU in the upcoming referendum, this could result in a 5 per cent to 10 per cent reduction in housing transactions – and it would particularly impact London. This comes despite a recent survey that showed only one in four estate agents think a Brexit would hit housing demand.
On Brexit, the report said: "The rate of national house price growth would undoubtedly slow, but the scale of this will depend upon the economic impact and whether mortgage rates increase. The greater the direct impact on the economy then the greater the downside for turnover and house prices.
"The London market faces greater headwinds irrespective of the Referendum vote."
There has also been high growth in house prices in Bristol, where prices have responded quickly to strong demand in the first quarter – mainly driven by landlords rushing to secure deals on second homes before the government's stamp duty hike came in at the beginning of April.