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UK Property Market Shows Strong Growth in 2024: Positive Trends for Investors

Written by Magnate Assets | Aug 1, 2024

New research from Zoopla reveals a robust first half of 2024 for the UK property market, with half of all UK homes (15 million) increasing in value by 1% or more. This marks the highest increase since December 2022 and signals a promising outlook for property investors.

Key Findings:

1. Overall Growth: The average UK home value increased by £2,400, reaching £278,000 in the past six months.
2. Significant Gains: One-third of UK homes (10 million) saw value increases of £5,000 or more, doubling the number from the last six months of 2023.
3. Stable Values: 8 million homes (27%) maintained their value, highlighting market stability.
4. Fewer Declines: Only 6.7 million homes saw a value decrease of at least 1%, half of the 14 million figure recorded in the latter half of 2023.

 

Regional Highlights:

1. Northern England Leads: Values are growing fastest in the North East (1.9%) and Yorkshire and the Humber (1.4%).
2. Top Performing Areas: Homeowners in Oldham, Wakefield, and Co. Durham saw the most significant value increases.
3. Affordable Homes: Properties valued below £150,000, particularly terraced homes, saw growth of 5% or more due to their appeal to cost-conscious buyers facing higher mortgage rates.

 

Southern England Trends:

  • Affordability Challenges: High mortgage rates impacted affordability, resulting in fewer value increases.
  • High-Value Homes Excel: The top 10% of the most expensive homes, especially in West-Central London, Watford, and Bath, saw substantial gains. Seven in ten homes in these areas increased by at least £5,000.

Expert Insight:

Izabella Lubowiecka, senior property researcher at Zoopla, commented: “Growing buyer confidence and a rising volume of transactions in the first half of 2024 are translating into firming home values. Half of UK homeowners registered value increases this year - the highest proportion since December 2022. For many homeowners, it means equity gains which can unlock their next move."

What This Means for UK Property Investors

For property investors, particularly in northern England and high-value areas in the South, these findings offer significant opportunities. The increase in property values, coupled with stable and growing market confidence, suggests a favorable environment for investment.

Stay tuned to Magnate Assets for more insights and investment opportunities as the UK property market continues to show strength and resilience in 2024.