According to a recent study conducted by eXp UK, a personal estate agents network, house prices across 22 major UK cities continue to outperform the current rate of inflation, signaling a robust housing market despite concerns of a potential slump.
The report analyzed the city rate of inflation in 62 UK cities, along with the annual rate of house price growth, to compare the two factors. The study discovered that while house prices have continued to climb annually at a rate of 6.3% across the UK, inflation remains at a rate of 10.4%, 4.1% higher than the average rate of house price growth.
However, the eXp research revealed that a considerable number of major UK cities are experiencing a stronger performance, with 22 of the 62 cities analyzed indicating strong rates of house price growth in contrast to inflation.
The city of Peterborough emerged as the leader with house prices surging by 14.4% over the last year, while inflation is at 10.2%, leading to a 4.1% difference. Meanwhile, in Wigan, inflation is at 10.7%, and house prices have gone up by 13.9%, reflecting a 3.2% difference. Derby follows with house prices up by 13.9%, in contrast to the city inflation rate of 10.9%, resulting in a difference of 3.0%.
Other cities that made the top 10 include Norwich (2.5%), Nottingham (2.5%), Swindon (2.0%), Cambridge (1.7%), Blackburn (1.5%), Barnsley (1.3%), and Birmingham (1.2%). Conversely, the current rate of city inflation across Aberdeen is 10.2%, with house prices falling by 4.4%, leading to a balance of -14.6%.
Adam Day, the Head of eXp UK, said, “Even in times of economic uncertainty and hardship, the UK property market provides a safe haven for many homeowners, and it’s no wonder that so many of us aspire to own our own homes as it’s one of the safest long-term investments you can make.
In fact, while there have been many predictions of a housing market crash, this simply hasn’t come to fruition, and, in fact, property values have increased annually in all but one major UK city.
What’s more, despite many households facing the toughest cost of living crisis in living memory, they can at least rest safe in the knowledge that their home is outpacing inflation when it comes to its increase in value over the last year.”
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Topics:Insider, UK Property, Off-Plan Property, Real Estate Market, Prices, Market Trends, Events, Inflation
Topics:UK Property, Real Estate Market, Prices, Market Trends, Events, Demand, Appreciation, Investment Strategies, Overseas Investors, Yield