Brighton and Hove's most expensive home has been sold for more than £3 million.

Georgian House in Roedean Crescent overlooks Brighton Marina and has been described as the finest house in the city.

It was on the market for more than a year and was originally priced at £4 million.

The new owner, a property millionaire who runs a lettings agency in the city, has moved in with his family.

Estate agents believe the sale sets a new watermark for the city's property market which has witnessed the highest price rises outside London.

Glenn Mishon of Mishon Mackay, who conducted the sale, said: "It is a magnificent house and the best in Brighton and Hove.

"I'm happy with the price and it is the best for a single luxury we have negotiated in the city.

"This sale takes the property market in Brighton and Hove on to another level."

Georgian House, sometimes known as Roedean House, is the ultimate in luxury.

It has a magnificent colonnade-style entrance, heated marble floors, polished oak panelled walls and a double staircase leading to a first floor gallery landing.

The indoor swimming complex overlooks a heated outdoor pool which leads to an ornamental fish pond with fountains in the midst of manicured gardens. The house looks out on to East Brighton golf course.

Luxury trappings include a 60ft master bedroom with dressing room over a set of garages and a marble tiled Roman bathroom with jacuzzi and open plan shower.

On the ground floor there is a snooker and games area which leads into the health complex with a sauna and steam room.

Mr Mishon said "There are not many houses in the country which have such fine facilities with sea views and back on to a golf course."

The house was extensively modernised by the previous owner, who is in the hotel business and now wants to spend more time abroad.

He spent ten years trying to buy the property, which had been falling into disrepair.

Once he obtained the house he embarked on a £1 million refurbishment programme.

Mr Mishon said: "All the work has been done to the highest standard, hence the property is being sold in this magnificent condition. It really is a beautiful property and the buyers have a magnificent home."

According to the most recent figures from the Land Registry, the average price for a detached house in the city rose from £289,000 last year to £314,000.

But the number of property sales fell from 1,820 to 1,450 between April and June.