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Manchester property price growth only topped by two other cities last year

House prices continued to increase over the last 12 months with Northern cities enjoying a sustained period of growth.

The data, sourced from Hometrack’s UK Cities House Price Index, shows that house price inflation rose from 3.7% to 5.5% over the last year and interestingly, it’s Edinburgh that tops the list of UK cities experiencing the most growth with 8.1%.

Manchester, well noted for its period of building over the last few years, came in third with 7.4% with other cities large regional hubs including Nottingham, Birmingham, Leeds, Leicester and Liverpool also enjoying 6-8% growth.

City level growth – March 2018

CityCurrent price%yoy Mar-18%yoy Mar-17
Edinburgh£229,2008.1%4.1%
Nottingham£148,5008.0%4.6%
Manchester£162,1007.4%6.5%
Birmingham£157,2007.0%6.6%
Leeds £162,6007.0%3.8%
Leicester £170,3006.5%6.8%
Liverpool £117,3006.1%3.3%
Sheffield £134,1006.1%3.5%
Bristol£276,8005.8%6.2%
Cardiff£199,6005.6%3.0%
Portsmouth£235,3005.5%6.3%
Bournemouth£285,6004.6%6.0%
Southampton£227,7004.4%5.7%
Belfast£135,6004.4%3.5%
Newcastle£126,3003.9%1.7%
Oxford£418,4003.9%2.3%
Glasgow£118,6002.5%4.7%
London£490,9001.6%3.0%
Cambridge£428,900-1.2%0.6%
Aberdeen£162,000-6.9%-6.8%
20 city index£254,9005.5%3.7%
UK£214,7004.6%4.2%

Source: Hometrack UK Cities House Price Index

The national average stands at 4.6% annual growth, up 0.4% on the year before. London, where properties can take up to 17 weeks to sell, saw respectively sluggish growth of just 1.6% as sales struggle to keep up with new supply in the capital.

London property price growth

Hometrack said of the results that: “We expect house prices across London to continue to post modest falls in real terms over the next 12-24 months as prices realign to what buyers are prepared to pay.”

Read more: Average house prices reach record high after March increase

“It is early days, but there are some tentative signs that sales volumes could start to stabilise over 2018 as a result of more realistic pricing.”