The most surprising figure is that the data released by Rightmove shows a rise of 3.5% in asking prices in the last month alone. If you didn't know the local market here you might conclude from this data that prices across the board in the South West are soaring at a higher rate than anywhere else in the country, however this is not the case and when you look closer at the property actually being listed for sale you can see that roughly 60% of properties listed within Cornwall currently are above £250,000.
The physical number of properties on the market in December 2015 was considerably lower and January has seen many sellers with an asking price of over £250,000 come to the market. These factors have skewed the average asking price leading to the reported 3.5% rise.
Another point to consider is that Rightmove only report on asking prices not sold prices and so the figures reported are only an indication of the market. Putting all this aside, the local market looks buoyant and the chancelleors imposed 3% stamp duty rise seems to have added a sense of urgency to buyers (at least until April that is and then I think we will see a calming in demand).
What does this mean for the medium to long term investor in Cornwall? If rents are only going to see small increases but houses prices are going to continue to rise at a higher rate then yields may not be the key influencing factor in investment - perhaps capital appreciation may be the reason to buy again?