'Half of UK towns' break £200,000 barrier

Halifax has said that 48 per cent of all towns in the UK now have an average price of more than £200,000, reflecting continued price growth in 2007.

While prices have now finally begun to slow and even drop in many areas, the best performing region in Britain - Montrose in Angus, Scotland - nonetheless saw prices rise by some 39 per cent in 2007.

Meanwhile the average price of a home is now beyond £100,000 in all 466 towns surveyed, the study added.

"In 2007 thirteen of the top twenty towns recording the biggest price rises are from Scotland and the south-east," said Halifax chief economist Martin Ellis.

"Strong economic conditions, highlighted by high employment levels, have boosted housing demand and driven up prices. Relatively good housing affordability in Scotland has also permitted strong price growth in several towns north of the border," Mr Ellis added.

House prices fell by 0.8 per cent in November, according to the most recent house price index from Nationwide.

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