MALVERN has the least affordable housing in Worcestershire and the West Midlands, according to a new report.

But the situation is almost as bad in Pershore, Droitwich and Evesham, where first time buyers are also also struggling to get a foothold on the property ladder.

The average house price in the Malvern Hills district is £240,830, according to the National Housing Federation report; but the average mean income is just £23,629, the worst ratio of house prices to incomes (10.2) in the whole region.

However, while Malvern estate agent, Mark Ball, recognises "a lack of affordable housing" in the town, he is still "wary of statistics".

This is because Malvern has a disproportionate number of stately Victorian villas, which sell for high prices and help to boost the "average" house price for the town.

He said: "Malvern used to be playground of the Victorian wealthy and our stock of smaller houses is not so great as in some similar towns. Our housing stock tends to make the average higher because we do have a lot of larger houses. I am always a bit wary of statistics."

However, Mr Ball added: "I think we do have a lack of affordable houses for first time buyers, but it has been like that since I first entered the business, 40 years ago."

Cllr. Melanie Baker, portfolio holder for planning and housing with Malvern Hills District Council, said: "The issue of affordable housing across the Malvern Hills district is not new. We live in an attractive and desirable place which does tend to make it more expensive. We have a strong record of securing affordable housing and we are still very conscious of this for the future. This is why we’ve looked at suitable housing for all groups older and younger and have included this in the policies in the South Worcestershire Development Plan.”

A study by the National Housing Federation warns that as house prices continue to rise, mortgages are being placed out of the reach of many hard-working people.

When average house prices and wages are linked, Malvern and Wychavon are the least affordable places to live in the West Midlands, according to the new report.

A salary of £40,658 is required for an average mortgage, says the Federation.

House prices rose 11.7 per cent year on year in the UK, taking the average house price to an all-time high of £274,000, - a national figure that takes into account London prices.

Charles Robinson, a director at Griffiths and Charles Estate and Letting Agents in Worcester, said house prices were not going “up and up and up” locally in the same way they had been, with the majority of offers under asking price and owners prepared to do deals under the asking price.

He said: “It is always good to see new houses being built which means developers are optimistic. The fact houses are being built shows renewed optimism.”

Paul Jones, a partner in Sidbury-based Allan Morris Estate Agents, said the lower end of the housing market had been doing particularly well but was now starting to level out. He said: “The higher end of the market if anything is still playing catch up. We still have some of the properties at the higher end which haven’t gone up all year.

“There has been a lot more first time buyers this year than any other year I can remember.”

Prices across the UK jumped by 0.6 per cent month on month, in August.