House Prices Rising Fastest In Manchester
House Prices Rising Fastest In Manchester; with annual growth of 8.8% and quarterly growth of 3.4% compared to the national average values up by 6.4% year on year and 3.5% in the first quarter of 2017. with average values up by 6.4% year on year and 3.5% in the first quarter of 2017. The strong growth in the cities covered by the Hometrack index which covers 20 key cities across the nation compared with average annual growth of 5.7% in the UK as a whole and quarterly growth of 2.5%. The city index growth of 6.4% is up from 4.9% in December 2016. Furthermore, the quarterly rise was the highest quarterly increase for three years. Manchester topped the growth table; recording 8.8% and quarterly growth of 3.4%. Followed by Birmingham, up 8% and 3.5%, Oxford was the only city in England that recorded a decline; of -1.75%. London, Oxford, and Cambridge are in all in the bottom five cities registering the lowest annual growth. Cambridge was second from bottom. after Aberdeen with prices up by just 1.7% year on year. Prices were up by 2.9% in Belfast, by 3.7% in Oxford and by 4.9% in London. ‘The impetus for faster house price growth is emanating from large regional cities. Attractive affordability levels, record low mortgage rates, and an improving economic outlook are all supporting demand for housing. Together with limited availability of stock for sale, this is creating scarcity and an upward pressure on house prices. Price rises are not running away but house price growth is well ahead of earnings growth,’ the report explains.
Supply Shortage Fueling Price Growth
The figures show that the balance between new supply and sales remains ‘tight’ in Birmingham and Manchester, whereas market conditions have weakened in London. In the case of Birmingham and Manchester’s growth has resulted in the annual price increases reaching levels not seen since early 2005. House price growth in London, Oxford, and Cambridge has slowed to less than 5% for the first time in five years as affordability pressures, and tax changes for investors, constrain demand. ‘It is clear that in London sales are failing to keep pace with supply. The stock that is on the market will require downward price adjustments in order to sell,’ the report explains. The report suggests that the general election may create some short-term uncertainty. However comparing the profile of sales volumes between election years and non-election years there is no material difference. ‘Compared to the level of uncertainty over Brexit, it is debatable whether the election will really make a material difference to buyers’ decision in the next two months. In our view the current market trends appear well set for the rest of 2017 where above average growth in regional cities offsets weak, single digit increases in southern cities,’ it concludes.
House Prices Rising Fastest In Manchester
House Prices Rising Fastest In Manchester; with annual growth of 8.8% and quarterly growth of 3.4% compared to the national average values up by 6.4% year on year and 3.5% in the first quarter of 2017. with average values up by 6.4% year on year and 3.5% in the first quarter of 2017. The strong growth in the cities covered by the Hometrack index which covers 20 key cities across the nation compared with average annual growth of 5.7% in the UK as a whole and quarterly growth of 2.5%. The city index growth of 6.4% is up from 4.9% in December 2016. Furthermore, the quarterly rise was the highest quarterly increase for three years. Manchester topped the growth table; recording 8.8% and quarterly growth of 3.4%. Followed by Birmingham, up 8% and 3.5%, Oxford was the only city in England that recorded a decline; of -1.75%. London, Oxford, and Cambridge are in all in the bottom five cities registering the lowest annual growth. Cambridge was second from bottom. after Aberdeen with prices up by just 1.7% year on year. Prices were up by 2.9% in Belfast, by 3.7% in Oxford and by 4.9% in London. ‘The impetus for faster house price growth is emanating from large regional cities. Attractive affordability levels, record low mortgage rates, and an improving economic outlook are all supporting demand for housing. Together with limited availability of stock for sale, this is creating scarcity and an upward pressure on house prices. Price rises are not running away but house price growth is well ahead of earnings growth,’ the report explains.
Supply Shortage Fueling Price Growth
The figures show that the balance between new supply and sales remains ‘tight’ in Birmingham and Manchester, whereas market conditions have weakened in London. In the case of Birmingham and Manchester’s growth has resulted in the annual price increases reaching levels not seen since early 2005. House price growth in London, Oxford, and Cambridge has slowed to less than 5% for the first time in five years as affordability pressures, and tax changes for investors, constrain demand. ‘It is clear that in London sales are failing to keep pace with supply. The stock that is on the market will require downward price adjustments in order to sell,’ the report explains. The report suggests that the general election may create some short-term uncertainty. However comparing the profile of sales volumes between election years and non-election years there is no material difference. ‘Compared to the level of uncertainty over Brexit, it is debatable whether the election will really make a material difference to buyers’ decision in the next two months. In our view the current market trends appear well set for the rest of 2017 where above average growth in regional cities offsets weak, single digit increases in southern cities,’ it concludes.
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