House prices in Bury have seen a near £4,000 rise, a borough estate agents boss has said, despite the UK average falling at the fastest annual rate in 14 years.

UK property values fell by 3.8 per cent on average annually in July, marking the weakest reading since July 2009, Nationwide Building Society has reported.

But Cardwells Estate Agents managing director Andrew Cardwell says amid the cost of living crisis, increased inflation rates and rising interest rates, the Bury property market has remained "robust".

Surrounding Greater Manchester boroughs are not experiencing such a surge, he added.

And he believes the future in the borough is looking bright.

Mr Cardwell said: ‘The property market in Bury has remained robust and performed well especially when compared directly against this national figures.

"In fact, information released by the Land Registry in July 2023 has in fact showed that Bury property prices increased on average by £3,980 for the last month.

"At branch level we have seen no slow down in new enquiries or registering potential buyers, since the start of the school holidays, which sometimes happens this time of year.

"Bury’s property market is built on strong foundations, and it will continue to be robust, and will likely flourish over the medium and long term."

Taking an optimistic approach, Mr Cardwell says that although financial pressures have impacted the industry, a couple of economic factors have helped the market.

Average mortgage rates offered by banks and building societies have falled for the first time in months, meaning the cost of borrowing money is decreasing compared to a few months ago.

And the inflation rate has dropped to almost 7.9 per cent rather than 8.7 per cent in May.

Nationally, house prices dropped by 0.2 per cent month-on-month in July, to reach £260,828 on average.

The price of a typical home is now 4.5 per cent below the August 2022 peak, Nationwide said.

Robert Gardner, Nationwide's chief economist, said: "Investors' views about the likely path of UK interest rates have been volatile in recent months.

"There has been a slight tempering of expectations in recent weeks but longer-term interest rates, which underpin mortgage pricing, remain elevated.

"As a result, housing affordability remains stretched for those looking to buy a home with a mortgage.

"For example, a prospective buyer, earning the average wage and looking to buy the typical first-time buyer property with a 20 per cent deposit, would see monthly mortgage payments account for 43 per cent of their take-home pay (assuming a six per cent mortgage rate).

"This is up from 32 per cent a year ago and well above the long-run average of 29 per cent.

"Moreover, deposit requirements continue to present a high hurdle - with a 10 per cent deposit equivalent to 55 per cent of gross annual average income."

He added that unemployment is expected to remain low and the "vast majority of existing borrowers should be able to weather the impact of higher borrowing costs".