HOUSE prices in Test Valley have soared for first-time buyers, increasing by more than a quarter in five years, figures show.

The latest figures from the Land Registry's house price index show first-time buyers in Test Valley were paying an average of £322,600 for a house in April.

It was up 25 per cent from an average of £258,200 five years earlier.

Overall house prices in Test Valley have jumped 26 per cent over five years, reaching £411,200 in April 2024.

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Tim Bannister, Rightmove’s property expert, said reduced mortgage rates would help first-time buyers in the short term, "more so than election housing promises".

It comes as the property website said the average mortgage payment for a typical first-time buyer in Great Britain has risen by 61 per cent over the past five years – from £667 a month in 2019 to £1,075 this year.

Mr Bannister added: "As rates have increased over the last five years, the amount that a typical first-time buyer is paying each month on a mortgage has outstripped the pace of earning growth.

"Some first-time buyers are looking at extending their mortgage terms to 30 or 35 years to lower monthly payments, or looking at cheaper homes for sale so that they need to borrow less."

He said: "We hope that the next government can support first-time buyers with well thought out policies, which address the difficulties of saving up a large enough deposit and being able to borrow enough from a lender."

The most recent Land Registry figures also show a significant drop in housing sales compared to five years prior, with over 26,600 sales across Great Britain in February this year compared to 66,000 the same month in 2019.

In Test Valley, there 59 sales in February this year were down from 108 five years earlier.