South West Property Market: Regional Analysis & County Comparison, End of H1 2026

The South West region encompasses 7 counties, recording a combined 47,466 residential transactions over the past 12 months. The regional median property price stands at £303,750, with prices falling at -1.1% year-on-year.

South West median prices have moved from £313,389 in Q1 2025 to £301,981 in Q2 2026, a change of -3.6% over 5 quarters.

New-build activity across the region totalled 422 completions, demonstrating an active development pipeline.

The table below compares all 7 counties in the South West region, ranked by median property price. Click any county name for the full market report.

Property prices across South West vary significantly. Dorset commands the highest median price at £343,250, while Devon offers the most affordable entry at £285,000 — a spread of £58k.

This price differential creates opportunities across the risk-return spectrum. Premium locations offer higher GDVs but require larger capital commitments, while more affordable areas can deliver stronger percentage returns on lower absolute investment.

The most active development markets in South West, measured by new-build completions, are Devon (96 new builds), Wiltshire (87 new builds), Gloucestershire (69 new builds).

By total transaction volume — an indicator of market liquidity and exit confidence — Devon (11,654 sales), Somerset (7,961 sales), Gloucestershire (7,824 sales) lead the region.

Developers entering the South West market should weigh these two metrics together: new-build activity shows where planning consent is achievable, while transaction volume confirms buyer demand.

Development finance across South West varies by location and scheme size. In premium areas like Dorset, typical scheme GDVs support larger facilities, while more affordable counties may suit developers using bridging finance for refurbishment-led strategies.

Senior development finance is available from 6.5% p.a. at up to 65-70% LTGDV, with mezzanine finance stretching total borrowing to 85-90% of costs. For developers building across multiple sites in the region, portfolio-level facilities can offer better terms.

Construction Capital sources terms from 100+ lenders across the South West region. Submit your scheme through our deal room for indicative terms within 24 hours.