We’re all hoping that 2021 will bring an end to the strictest Coronavirus rules and a return to some semblance of normality – but will that look the same in every part of the country?
The latest Land Registry figures suggest that the UK housing market is already performing very differently depending on where you live, based on sales up to December 2020.
Moving house has always been allowed under the UK’s social distancing regulations, but what does that mean for property prices in different areas?
This will depend in part on how the market moves on from the stamp duty holiday in the coming months, as property tax has always played a role in suppressing house prices.
But it could also be about people’s desire for more space, as many of us have been in our own homes for the vast majority of the past 12 months – and that will have buyers looking for larger properties than in the past.
House prices are on the up
Despite the pandemic, house prices are performing well nationwide, up by an average of 8.5% in the year to December 2020 to a value of £251,500.
That’s a monthly price rise of 1.2% in December alone and at long last, every region in England is now above its peak before the financial crash of 2007-08.
Over the course of the year, the biggest price gains at the country-level were seen in Wales, up an impressive 10.7%.
England’s property prices were up 8.5% and Scotland’s 8.4%, with Northern Ireland posting smaller gains of 5.3%.
Which cities are rising stars?
Within England, the East Midlands performed strongly, with property prices up 10.6%, and this puts cities like Derby, Leicester and Nottingham high on the hotspot list.
But the North West gained even more value year-on-year, even beating Wales to achieve a staggering 11.2% rise in property prices, great news for homeowners in Manchester and Liverpool.
At the bottom of the table, London prices were up just 3.5% – but with an average selling price of nearly £500,000, the capital is still well ahead of the rest of the country on outright value.
Crawfords Accountants are specialists in property accountancy. We know exactly how to minimise your tax obligations whilst ensuring you’re completely compliant with all regulations.
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