House prices in Sussex are continuing to soar, with the value of some homes in Brighton and Hove rocketing by more than £40,000 in a year.

Prices have risen in all categories in the housing market as buyers keen to get on to or move up the housing ladder have taken advantage of low interest rates.

Last week's 0.25 per cent rise, the first in four years, may slow down prices but estate agents predict it will have little effect on the buoyant property market.

Figures from the Land Registry today show the average price of a detached house in Brighton and Hove has gone up from £310,710 to £356,994 in 12 months.

The price of a semi-detached house is up from £197,125 to £237,894, terraced properties from £204,067 to £214,362 and flats and maisonettes from £139,229 to £152,772.

The quarterly figures in a report covering July to September do show a slight slowing in the number of sales in Sussex, in common with the rest of the UK.

Phil Graves, of estate agents Graves Jenkins, with offices in Brighton and Crawley, said: "There is no sign of the market softening in residential or commercial properties.

"Brighton and Hove and Sussex are seen as hip places to live by people of all ages and that popularity shows no sign of diminishing.

"I am surprised there has not been a greater price increase in the flat market in Brighton and Hove as more and more younger people are moving in.

"We will wait and see what happens with the recent rise in interest rates. We shall see what happens after the traditional slowing down in the market after Christmas.

"I can't see a real slump coming as there still seem to be plenty of people around to pay the asking prices.

"I doubt if we will get back to the early Nineties, with house price falls and negative equity."

The Land Registry figures are regarded as the most accurate.

Compared to 2002, East and West Sussex and Brighton and Hove have seen prices in all categories increase by more than ten per cent.

This increase is not as high as parts such as the North, which has seen a 24.76 per cent rise.

In Greater London there has been a rise of 5.4 per cent.

The average sale price in Brighton and Hove was £198,274 compared to £181,184 between July September 2002.

It makes a house in the city more expensive than five London boroughs including Barking and Dagenham, Bexley, Havering, Sutton and Waltham Forest.

The average price of properties in East Sussex has gone up by more than £20,000 in the past year from £163,931 to £184,898 and in West Sussex by more than £24,000 from £184, 268 to £208,314.

Monday November 10, 2003