Welcome to LL&Co’s Cornwall property market report for September 2024. By keeping a close watch on the market trends for you, we want to ensure that you can make informed decisions, whether you’re renting, buying, or investing in Cornwall’s housing market.
First of all, let’s consider the UK market as a whole so we can see what’s happening here in Cornwall within the broader context.
What Happened to the UK Housing Market in September 2024?
In September 2024, the UK housing market saw a notable increase in activity, with house prices rising by 3.2% annually, the fastest growth rate since November 2022. The average house price in the UK reached £266,094, supported by improving economic conditions such as stabilising inflation and falling borrowing costs. This uptick in prices was largely driven by renewed buyer confidence, as mortgage rates began to drop, encouraging more transactions.
Falling mortgage rates, which dipped below 3.7% for five-year fixed-rate deals, have been a key driver of this recovery. As lenders compete to offer more attractive terms, potential buyers have been drawn back into the market. Although borrowing costs remain higher than the record lows of 2021, the recent improvements have helped ease affordability concerns. This shift in the lending landscape is expected to maintain momentum for the remainder of the year, with price increases projected to reach between 4% and 5% by year-end.
Regional variations were prominent, with more affordable areas all the way up in Northern England and Scotland showing the strongest growth. In contrast, regions such as East Anglia experienced slight declines, with house prices dropping by 0.8% annually. This regional disparity highlights how affordability challenges are affecting different parts of the country, with higher growth rates concentrated in lower-priced regions. It also evidences the importance of knowing your local market conditions and choosing an agent who is in tune with them too so you’re getting the best possible advice, whatever your personal circumstances.
What’s Been Happening in the UK Rental Market in September 2024?
In September 2024, the UK rental market showed signs of moderating inflation, with rental growth slowing to 5.4%—the lowest rate in nearly three years. Despite this cooling, demand remains robust, particularly in rural areas and smaller towns, where some areas experienced rental inflation exceeding 10%. The average rent across the UK stood at £1,273 per month, up by 7.5% compared to the same time last year. Excluding London, the average rent was £1,070, showing a modest 0.7% increase from the previous month.
London continued to see the highest rents, averaging £2,102 per month, although its rental growth slowed to 6.2% annually. Elsewhere, the North East remained the most affordable region, with average rents at £679.
The ongoing imbalance between supply and demand, with rental property availability still below pre-pandemic levels, continues to drive market dynamics, suggesting further price increases into 2025.
This gradual slowdown offers slight relief to tenants after years of sharp rises, but the market remains competitive, particularly for those seeking rental properties in high-demand areas. These trends reflect a broader pattern of constrained supply, making quick decision-making essential for prospective tenants.
The data underscores how the UK rental market, though stabilising, continues to favour landlords, with steady demand and limited availability pushing up prices, particularly outside of major cities.
Let’s look closer to home now and see what happened in the Cornish property market.
What’s Been Happening in the Cornish Property Market in September 2024?
In September 2024, property prices in Cornwall remained relatively stable, with the average house price hovering around £299,580. This figure reflects a market where prices have largely stalled, showing only a -0.4% decline compared to the previous year. Cornwall’s property market continues to face affordability challenges, as the average house price is more than ten times the local average income, making it difficult for many residents to enter the market. This trend is particularly stark in comparison to other regions in the South West, such as East Devon, where house prices have increased significantly.
The market in Cornwall has seen little movement in terms of price growth, which contrasts with some areas experiencing sharper declines, such as the neighbouring Mid Devon and South Hams. Despite the stability in pricing, demand remains high, especially for second homes and properties in sought-after areas, which further pressures the affordability of housing for local buyers.
This equilibrium between a static price environment and high demand suggests that the Cornish housing market will continue to challenge both first-time buyers and those looking to climb the property ladder. These are not insurmountable, however. For expert and personalised advice, please do get in touch. We can have a chat about how best to approach things and which local professionals to work with, for example, the best independent financial advisors, to ensure you’re thoroughly supported.
What’s Been Happening in the Cornish Rental Market in September 2024?
In September 2024, Cornwall’s rental market has continued to display a range of pricing across the board. Data reveals that there are currently 573 properties available for rent, with 134 new listings added in the past 14 days. The average rental price has risen to £1,375 per calendar month (pcm), reflecting the steady demand for rental homes in the region.
A breakdown of rental prices shows a variety of options for renters. The largest share of properties, 311 in total, fall within the £1,000 to £2,000 pcm range, making it the most common price bracket. Meanwhile, 199 properties are available between £500 and £1,000 pcm, and 46 higher-end properties are listed at rents between £2,000 and £5,000 pcm. At the top of the market, 8 properties are priced above £5,000 pcm, offering luxury options for those with a higher budget. There are also a few affordable options, with 3 properties listed under £250 pcm and 6 properties between £250 and £500 pcm.
Looking at the rental market by property size, one-bedroom homes have an average rent of £883 pcm, while two-bedroom properties are priced at £1,120 pcm on average. Three-bedroom homes see an increase in rent to £1,439 pcm, and four-bedroom properties average £2,043 pcm. For larger properties, five-bedroom homes are listed at an average of £2,108 pcm, reflecting the premium for more spacious accommodations.
In terms of property types, flats tend to be the priciest, with an average rent of £1,482 pcm, while houses are slightly more affordable at £1,360 pcm. For those seeking shared accommodation, rooms are available at an average of £1,073 pcm.
Focus on the Truro Rental Market
This September, the rental market in Truro presents a diverse range of options with a focus on properties in the mid-range price bracket. Currently, there are 27 properties available for rent in the area, with 4 of these being newly listed in the last 14 days. The average rent stands at £1,181 per calendar month (pcm), while the median rent is slightly lower at £1,100 pcm, suggesting that most rental properties fall within a similar pricing range, offering stability in the market.
A closer look at the pricing structure reveals that the majority of properties available in Truro are priced between £1,000 and £2,000 pcm, with 18 listings falling into this category. Meanwhile, 9 properties are available in the £500 to £1,000 pcm range, providing options for renters on a more modest budget. Notably, there are no properties listed below £500 pcm or above £2,000 pcm, indicating a focus on mid-tier rentals in the area.
When it comes to the types of properties available, houses dominate the market with 17 listings, averaging £1,340 pcm and a median of £1,375 pcm. Flats are also well-represented, with 8 listings at an average rent of £885 pcm, and a median of £898 pcm. Rooms for rent are limited, with just 1 available, priced at £925 pcm.
Looking at the rental market by the number of bedrooms, two-bedroom properties are the most common, with 12 listings and an average rent of £1,073 pcm, close to the median of £1,100 pcm. Three-bedroom homes are also in demand, with 8 listings averaging £1,484 pcm. For larger families or those seeking more space, there are 2 four-bedroom properties, with an average rent of £1,773 pcm. Interestingly, the single five-bedroom property available is listed at £820 pcm, which could indicate an unusual or unique offering in the market.
Overall, the rental market in Truro this September is characterised by a variety of mid-range options, with a significant focus on two- and three-bedroom homes. The stability in rental prices and the concentration of properties in the £1,000 to £2,000 pcm range provide a reliable landscape for both tenants and landlords.
That’s all for this month’s market report so if you’re looking for any further information about the Cornish property market, please feel free to contact us.
If you’re thinking of buying, selling, letting or renting property in the county, please don’t hesitate to get in touch. Click here for the easiest way to contact us.
