The North South divide is seemingly a common place occurrence regardless of where in the world you lay your hat. From Italy to Ireland, America to Korea it can be a matter of difference of opinion on cuisine and in the most extreme cases the basis for conflict.
Thankfully in the UK the latter isn’t applicable, with the fiercest debates on North South culture often centred on the suitability of gravy as an accompaniment to a portion of chips.
However where the UK property market is concerned the divide is very much focussed on price. Even the most luxurious of properties up North can cost you a fraction of that in the South and more so London.
But this divide could soon close as data released today by Hometrack has highlighted that house prices in the North’s more prominent cities, have grown at a quicker rate than that of their Southern counterparts. According to Hometrack the cities that have witnessed the fastest inflation in house prices over the last quarter are Sheffield (0.8%), Liverpool (0.7%) and Glasgow (0.6%).
Today the average UK house will cost you around £272,000*, when compared to £500,000 price tag on the average London property it is no wonder the appeal of a larger house is starting to compensate for the colder Northern climate in the mind of buyers.
Leading online estate agent eMoov.co.uk’s latest Property Hotspot Index detailed the decline in the South, and the London property market in particular, as well as the increasing demand for property in the North.
eMoov’s data found that of the top 10 UK hotspots that had experienced the greatest turn around in demand over the course of 2014, all were located in the Midlands or further North.
Top of the list was Glasgow with an uplift in demand of 28%, Sandwell and Hull also enjoyed an increase of over 25% with demand for property at 27% and 26% respectively. They were closely followed by Doncaster (25%), Bradford (25%), Shropshire (19%), Stockport (18%) and Stockton-on-Tees (18%).
To put this into perspective the London Borough of Bexley was the location with the highest demand percentage across the whole of the UK (71%). However in terms of growth in demand throughout the year, Bexley has seen an increase of just 3%, the only London Borough to have seen a positive movement in demand percentage. Even so this small increase places it as far down as 23rd in the demand growth table for 2014.
Founder and CEO of eMoov.co.uk Russell Quirk commented “Hometracks latest data doesn’t come as much of a surprise, our Q4 2014 research highlighted the increasing demand for properties in the North of the country. Inevitably as demand increases the supply of available properties tends to decrease, as a result the price of said properties will be driven upwards.”
*Average house price data obtained from the Office of National Statistics
Further coverage of eMoov’s December Hotspot Index can be found at:-
– The Telegraph: http://www.telegraph.co.uk/finance/property/house-prices/11421634/House-prices-The-last-remaining-hot-spot-in-London.html
– CNBC: http://video.cnbc.com/gallery/?video=3000344219#.
– The Telegraph: http://www.telegraph.co.uk/finance/newsbysector/constructionandproperty/11304607/Londons-most-unpopular-borough-in-which-to-buy-a-house.html