Five areas with the biggest house price increases – and the five cheapest too

Britons trying to buy a home are frustrated by soaring property values, but new research has found where property prices are rising fastest and where they are still relatively low

Property prices are rising across the country, but some areas are seeing steeper increases than others.

For example, rural areas have seen the largest increases, according to the Nationwide Building Society.

Country homes have increased in value by an average of 29% over the past five years, compared to 18% in cities.

Some regions also saw larger price increases.

The area with the fastest increase in property prices was North Devon at 24%.

National Senior Economist Andrew Harvey said: “Our latest analysis suggests that average house price growth in local authorities classified as predominantly rural has outpaced growth in other areas, particularly in recent years.

“It is noteworthy that the list includes a number of areas closely linked to tourism, including parts of Devon, South Wales, the Cotswolds and the Broads.

“This suggests that some of the demand is being driven by vacation home or second home buyers.”

According to experts, the so-called “race for space” could also be behind the rise in house prices in rural areas.

This phenomenon is leading would-be homeowners to increasingly turn to rural homes with more space, which have grown in popularity during the pandemic lockdown.

These are the five regions with the largest house price spikes, as well as the areas with the lowest prices overall.

Areas with the largest house price increases

North Devon

• Average property price: £326,848
• 24% increase over the past five years

Sudhams

• Average property price: £420,851
• 22% increase in the last five years

Rushcliffe

• Average property price: £355,398
• 22% increase in the last five years

Ceredigion

• Average property price: £244,619
• 21% increase in the last five years

Camden

• Average property price: £947,511
• 20% increase in the last five years

Regions with the highest real estate prices

County Durham

Hyndburn

• Average property price: £120,038
• Despite a 17% increase

sunderland

• Average property price: £137,274
• Despite a 13% increase

Eilean Siar

• Average property price: £144,755
• Despite a 19% increase

pipe

• Average property price: £166,870
• Despite a 16% increase

The UK property market is setting new records every month in terms of rising house prices as the country grapples with a crippling economic crisis.

According to mortgage lender Halifax’s latest Home Price Index report are the average house prices in the UK rose again in March and posted a monthly rise of 1.4%, or £3,860 in cash – the biggest jump since September last year.

According to Halifax, the average UK property has risen in value by £28,113 in the last 12 months. The year-on-year increase equates to the average UK annual pre-tax income of £28,860.

Since March 2020 – two years after the initial lockdown – house prices have risen by a staggering £43,577.

Russell Galley, Managing Director at Halifax, said: “The story behind such strong house price inflation remains unchanged: limited supply and strong demand, despite the prospect of mounting pressures on household finances.

“Although there has been some evidence of more homes coming onto the market recently, the underlying problem remains that too many buyers are chasing too few properties.”