UK Housing Market News:- Scotland and the North West have bucked the UK trend of slow house price growth showing a year-on-year rises of more than 4 per cent for October, according to figures released this week.
Scotland saw a year-on-year house price rise in October of 4.4 per cent bringing the average value of a house to £151,508 compared to £231,095 in the UK, said Registers Scotland. UK house prices in October showed a year-on-year rise of 2.7 per cent – the lowest annual growth since July 2013, when house prices increased by 2.3 per cent.
Edinburgh proves a hotspot for residential development sales
Edinburgh has experienced the highest year-on-year price rise of 6.6 per cent for November 2018 bringing the average house price figure to £239,200, according to the Hometrack City Price Index. Registers Scotland reported Glasgow had the biggest percentage increase with an October year-on-year rise of 9.3 per cent taking the average house value to £135,238. Nearby East Dunbartonshire was second with an 8 per cent hike bringing average prices to £218,795 and North Lanarkshire was third with 7.8 per cent increase taking prices to £109,102.
UK Housing Market News
Savills residential research director for Scotland, Faisal Choudhry said both Edinburgh and Glasgow were housing market hubs ripe for growth.
“Edinburgh is home to more 100 FTSE companies than any other major city outside London and its strong on banking and insurance and has a large talent base around the university which is known for computer skills and it’s an incubator location for the gaming sector.”
He added Glasgow had made a name for itself in sport and entertainment with the SSE Hydro the third largest entertainment arena in the world.
“Glasgow is the largest retail centre in the UK outside London and its music, food, sport and education offerings confirms the city’s reputation as an international destination.”
Average price increases were recorded in the majority of Scotland’s 27 authorities in October 2018, compared with the previous year but Aberdeen was the exception. Average prices fell by 6 per cent to £156,774 largely due to the city’s dependence on the oil industry. Residential sales in Scotland increased by 9.3 per cent in August 2018 compared with the same month the previous year.
Manchester and Birmingham power ahead
The North West of England was another region which showed significant house price rises of 4.9 per cent in the year up to the end of October 2018, according to Land Registry data. And Hometrack Cities Price Index for November 2018 showed Manchester and Birmingham experiencing year-on-year house price growth of more than 6 per cent. Other cities in the Hometrack index showing strong growth of more than 5 per cent were Nottingham, Liverpool, Leicester and Cardiff.
UK Housing Market News:- London feels the pinch in residential prices
House prices in London fell by 1.7 per cent in the year to October 2018 and have been falling over the year each month since July 2018, stated the Land Registry. The Bank of England’s inflation report attributed the slowdown to London being disproportionately affected by regulatory and tax changes plus lower migration from the European Union.