House prices in Richmond borough have hit a plateau against the background of rising interest rates and the cost of living crisis.

The average sale figure across all property types in June was £768,605, which is some 10.8% higher than the same month last year, according to figures published this week by the Office for National Statistics (ONS) and Land Registry.

However, this figure remained much the same as it was in both April and May, which suggests that previous surges in prices in the borough have stalled.

Over the past year, larger detached houses have seen the biggest percentage and cash increases against the background of the arrival of wealthy buyers with need for space for children, pets and an office.

The average sale price for detached properties in June for the borough was £1,703,646, which represents an annual increase of 14%, however, this is down by around £19,000 on the peak seen in May.

Looking at the sale prices for other property types for June –

·       Average for a semi-detached property was £1,122,319. This is up 13% in a year, however down by around £2,000 on the peak in April.

·       Average for a terraced home was £883,241. This is up 12.1% in a year, and is some £3.000 more than in May.

·       Average for a flat/maisonette was £502,242. This is up by 7.4% in a year, but down by around £3,000 on the peak in April.

The figures confirm that Richmond borough remains among the most desirable places to live in Britain with the result property prices are way ahead of averages for London and the rest of England.

The average sale figure for the borough of £7,865,605 compares to £537,920 for London and £304,867 for England, where the average increase in the year to June was 7.2%.

Mike Scott, Chief Analyst at national estate agency Yopa, said: "We do expect that the official index will follow the other reports and show a slowdown in the rate of growth by the end of the year, due to the pressure from rising interest rates and inflation.

"However, restricted supply and robust demand are likely to prevent any significant price falls this year.