The East Midlands might not be anywhere near London in terms of property prices, but in 2017, prices in the region shot up by 7.5% overall, compared to a 1% annual growth in the capital, according to Halifax.
Throughout the UK, house prices increased by an average of £7,091, with a 2.7% year-on-year increase in the last quarter. However, in the East Midlands, property prices grew by an average of £13,864. Almost double the national figure.
The only region to come close to this growth was Wales, where house prices increased by £12,152.
How do house prices compare across the UK?
Although the area saw higher annual growth than other areas of the country, the East Midlands remains one of the more affordable regions in England, with an average house price of £184,676.
London is still the most expensive area at £488,729, while the lowest house prices in England can be found in the North West, where property costs an average of £157,427.
House prices in Scotland fell by 0.2% in the same period, putting the average purchase at £149,185. This makes Northern Ireland the worst-performing are in the UK, as the average house price fell by a drastic 5.6%.
Property price trends in the East Midlands
In 2007, before the financial crisis of 2008, a home in the East Midlands cost an average of £157,000. The lowest it has been in the past decade is £130,000 in the first half of 2009. Since then, the average has steadily increased, but prices have consistently remained lower than:
- North East
- South West
- West Midlands
Residential costs higher all round
It is not just those looking to buy a home in the East Midlands who are faced with increasing prices. Data from the Office for National Statistics (ONS) shows that in the years to August 2017, private rents in the region increased by 2.1%.
This is bad news for first-time buyers and those saving for a deposit alike. As higher rents will stretch the budgets of savers, making it take even longer to save enough for a deposit.
To discuss ways to make buying a house easier or more accessible, feel free to contact Sarah or Bev on 0115 9338433.