Wales’s property market appears poised for renewed growth as house prices held firm in the final quarter of 2024.
The average selling price reached £233,200 — almost unchanged since the start of the year — according to Principality Building Society’s latest Wales House Price Index.
Despite the cost-of-living crunch, the data suggests strong buyer demand is pushing the market back on track. Transactions climbed to 12,800 in Q4, an 18% jump from Q3 and 28% higher year-on-year, marking the highest volume since late 2021. Analysts expect the Bank of England’s recent rate cut to give the market an additional boost going into 2025.
Carmarthenshire and Anglesey led the gains, with prices up by 8% and 7.8% respectively — well above the national average. Even Merthyr Tydfil, which recorded a 17.9% quarter-on-quarter drop, has seen a milder 5% annual decline. Principality’s research also indicates fewer areas experiencing price falls compared to a year ago, suggesting growing stability overall.
Iain Mansfield, Chief Financial Officer at Principality Building Society, attributes steady price growth to ongoing demand and a limited supply of available homes. A recent survey by the building society shows 75% of people believe UK house prices remain “too high,” while 74% feel it is now “much harder” for young buyers to break into the property market.
With the UK government promising planning reforms to boost social and affordable housing, plus more help for first-time buyers in Wales, Mansfield is cautiously optimistic. These measures, he says, could improve long-term affordability and support the market’s continued revival in the year ahead.
