PRICES of new homes in parts of Oxford have soared by almost 15 per cent in the last year, new figures have revealed.

A report by estate agent Carter Jonas shows that Botley and Cumnor saw a 14.7 per cent increase to £330,000 in 2009, largely driven by the family house market where supply shortages have driven up property values.

In Headington, where the price of apartments fell by up to 27 per cent in 2008, major rises have been recorded, with an 11.7 per cent increase to £235,000.

And in the north of the county the average price of a new home in 2009 was £207,750, up 12.8 per cent on the previous year.

In south Oxfordshire there was an 11.9 per cent rise to £263,625 and in the east of the county the average sale price was £147,000, up 9.9 per cent.

Experts at Summertown-based Carter Jonas are also predicting further rises of up to ten per cent for this year thanks to limited supply and fewer new-build developments.

Sara Parker, regional manager for Carter Jonas New Homes, said: “There are signs that demand is steadily increasing in all areas of the county.

“Housebuilders, who have put much on hold in the last year or so, should take a look at their development pipelines and seriously consider bringing forward those sites that will address short or imbalanced supply.”

Head of the office Mark Charter added: “New homes suffered more at the start of the downturn and have come back stronger in the last six months due to demand and shortage if supply as there is very little being built.

“There has been a lot of new build in Oxford in recent years but there are fewer brown field sites available now and while developers are wanting to build again, they are being held back by a shortage of available land.”

As for the property market in general, Mr Charter predicts the next quarter of the year will see further price growth, but a combination of the General Election in May, predicted cuts in public sector spending and rising interest rates will upset confidence and cause the market to lose ground again.

He added: “By the end of the year prices should be level with what they are now.”