You are here: Home - News -

Annual house prices grow 4.2%, Nottingham and Leicester fastest growing cities – Hometrack

  • 28/08/2018
  • 0
Annual house prices grow 4.2%, Nottingham and Leicester fastest growing cities – Hometrack
City house price growth moderated in July to 4.2% on a year-on-year basis ranging from +7.5% to -4.0%, with an average house price of £252,400, data showed.


Nottingham and Leicester are the fastest growing cities at 7.5% and 6.6%, whilst London slips into negative annual growth at -0.1%, although prices are 1.2% higher over the last quarter, according to the latest figures released by the Hometrack UK Cities House Price Index.

Birmingham and Manchester have dropped out of the top three fastest growing cities, although the rate of growth at 5.7% and 6.1% respectively is still above average.


Patchwork of recovery since financial crisis

Ten years on from the financial crisis in 2008, five cities are below or within 5% of the 2008 price level. Four cities demonstrate house price inflation more than 50% higher than in 2008 while the remaining eleven cities have prices that are 11% to 36% higher than a decade ago.

Belfast, Aberdeen and Liverpool have average prices that are still below their 2008 levels, at -28%, -3% and -1% respectively. Two other cities, Glasgow and Newcastle have average prices that are within 5% of where prices were a decade ago.

At the other end of the spectrum, prices in Cambridge are 70% higher than in 2008 followed by London, Oxford and Bristol at 65%, 55% and 53% respectively.

Steve Seal, director of sales and marketing at Bluestone Mortgages, said these results show the vast regional differences in the UK housing market.

He added: “Fundamentally, the only real solution is to increase our housing supply. However, in the meantime, schemes like Help to Buy continue to provide much-needed support for first-time buyers hoping to step onto the property ladder.

“There is, however, another group of borrowers we need to consider; those with irregular incomes or a  weak credit history, as these customers are often unable to obtain mainstream financial support. Real life is full of unforeseen bumps and a one-off event shouldn’t have a permanent bearing on someone’s ability to borrow.

“Instead, lenders need to take the time to recognise the underlying circumstances and offer solutions accordingly. Ultimately, this will not only benefit clients from all backgrounds, but will also help to encourage activity in the wider market.”

There are 0 Comment(s)

Comments are closed.

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
mortgage lending front doors
‘I expect landlords will avoid letting property to three or more sharers’ – Star Letter 24/08/2018

Mortgage Solutions and its sister title Specialist Lending Solutions select the most thoughtful or thought-provoking comment for Star Letter.