House prices in west Wales have fallen in the first quarter of 2024 according to the Principality Building Society.

The figures have been released from Principality Building Society’s Wales House Price Index for Q1 2024 (January-March), which demonstrates the rise and fall in house prices in each authority.

The report shows that house prices in Pembrokeshire have fallen by 4.7 per cent quarterly and 3 per cent annually down to an average price of £247,130, while Ceredigion experienced a fall of 5.8 per cent on the quarter and 2.5 per cent when compared with the same period the previous year to an average of £260,626 - the fourth most expensive in Wales.

House prices in Carmarthenshire however have remained largely unchanged since the previous quarter, dipping by less than 1 per cent to an average price of £202,387. This keeps the local authority’s average house price 10 per cent lower than when compared to Q1 2023, on par with the last quarter.

Elsewhere, Gwynedd saw an 8.7 per cent drop in the first quarter, but prices are up 2.2 per cent from last year with the average house price being £234,111.

Powys recorded a 2.5 per cent drop in the first quarter and a 10.8 per cent drop annually, with the average price now being £244,875.

Housing prices
The housing market picture across Wales (Principality Building Society)

Across Wales, the average price of a home fell to £229,263 in the first quarter of 2024, making this the fifth consecutive quarter that prices have fallen in Wales and brings the average house price almost £20,000 below its peak of £249,000 at the end of 2022.

Shaun Middleton, Head of Distribution at Principality Building Society, said: “The downward trend of house prices has continued for the fifth consecutive quarter in Wales. Economic pressures, coupled with the higher cost of mortgages has meant affordability continues to be a problem for many buyers, placing undoubtable pressure on the housing market in Wales.”

There were just below 8,400 transactions in Wales in the first quarter of 2024, 15 per cent fewer than the last quarter of 2023.

For Wales, quarterly sales transactions have declined continuously year-on-year since late 2021.

While all property types continue to experience weaker sales, detached properties are now the furthest from their peak in relative terms, demonstrating a fall in demand.