The eMoov Hotspots Index looks at where across the UK is currently seeing the largest and lowest spikes in property demand, as well as the biggest fluctuations since the previous quarter.
The current demand percentage indicates where is currently the hottest spot. However, it does not necessarily mean this is the area with the largest increase since the previous quarter. Often sustained levels of high demand can lead to inflation in house prices and a decline in demand on the previous quarter.
The index looks at the balance between the supply and demand for housing stock in a given area and attributes a percentage score based on the level of stock available on the major property portals, to that which has already sold.
Areas of Focus:
• The 150 most populated UK towns and cities
• London breakdown
Across the UK property demand has crept up by +4.54% over Q2, now at 36.07% overall. Wales has enjoyed the biggest turnaround with an increase of +12.33%, although current demand is still the lowest of all four nations at 30.72%. Scotland is the only nation to see a fall in demand over Q2, down -3.04% to 36.21%. England saw the second largest pickup in demand, up +4.91% over the second quarter of 2017.
The 150 Most Populated Towns and Cities
The most populated towns and cities have slightly increased in the past quarter, with demand up 1.32% from 43.19% to 43.77%.
Topping the list for hottest demand is Warwickshire’s Rugby at 70.76%. Rugby is trailed in a close-run race between Portsmouth (65.76%), Solihull (64.15%), Bristol (64.06%) and finally Colchester (61.68%).
Wigan enjoyed the greatest climb since Q1, with an increase of +67.60% to put current demand at 37.06% in the second quarter. Tynemouth placed second with a +54.75% jump to 43.75%. The next three highest increases were Basingstoke (+32.96%), Canterbury (+24.21%) and lastly, Newport (+24.16%) in Wales.
Meanwhile, the UK’s coldest spot is still Aberdeen with an 11.07% demand level. Hartlepool follows with demand at 16.63%, while Darlington, Middlesbrough and Bradford complete the five coldest locations for property demand at 18.86%, 19.13% and 20.57%, respectively.
The greatest fall was suffered by Chester at -23.12% down from 41.25% in Q1 of 2017 to 31.71% in the second quarter. Gillingham in Kent saw demand fall -17.88% to 51.61% in Q2, Yorkshire’s Harrogate (-16.05%) East Kilbride (-15.85%) in Scotland and finally Slough (-15.16%) in Berkshire also endured some of the largest falls in property demand over the second quarter of the year.
A slight decrease in demand across the major towns and cities of the UK during Q2 echoes reports by other price based industry sources that the market is slowing down a touch. Although demand has fallen marginally, there is still an abundance of buyer interest across the nation in the more affordable markets, and overall the UK property sector has been ticking along fairly well given the turbulent year it has had.Russell Quirk
Over Q2, the capital as a whole saw a +1.62% increase in property demand compared to Q1, now at 32.46%.
Looking to the outskirts of the city, Bexley remains the most in demand borough at 58.14% followed by Newham (53.34%), Sutton (52.09%), Havering (48.46%) and Barking and Dagenham (46.34%).
However, Greenwich experienced an incredible change of +83.42% between the first and second quarters of the year. Lambeth (+58.53%), Southwark (+58.34%), Kingston-upon-Thames (+25.92%) and Ealing (+7.56%) have also seen some of the largest turnarounds in property demand since the start of the year.
The majority of London’s coldest boroughs for demand are located in Prime Central London (PCL). The City of Westminster currently has the lowest demand at 10.41%, closely trailed by the Royal Borough of Kensington and Chelsea (10.51%), Hammersmith and Fulham (13.19%), Camden (16.09%) and finally the City of London at 16.16%.
The City of London saw the largest fall between Q1 and Q2, down -20.13%. Similarly, the trendy borough of Hackney decreased by -18.85% followed by Lewisham (-13.94%), Wandsworth (-13.61%) and Hounslow from (-12.56%).
An increase in demand across the capital may come as a surprise to some, but a cooling market in London where price is concerned will always bring opportunistic and aspiring buyers out of the woodwork in search of a good investment.
This latest data further demonstrates the multifaceted property market in London as overall demand is driven by the more affordable peripheral boroughs, dragging the over inflated boroughs along with them by their ear.Russell Quirk
National property demand across England has also enjoyed a slight spike in Q2 up +4.91% from to 41.26%.
East Sussex leads England as the hottest county for property demand in the second quarter of 2017 at 63.44%. The City of Bristol remains one of the hottest in second place (56.14%), closely followed by Northamptonshire (54.57%), Suffolk (53.08%) and Hampshire (51.84%).
Hampshire enjoyed the most significant climb in Q2, up +58.25%. East Sussex is not only the hottest county but has seen the second largest spike in demand, up +42.37%. In third place is Surrey (+42.10%) followed by the Isle of Wight with (+41.70%) and finally, Devon increased by (+18.42%).
County Durham continues to see demand hit low levels at 21.17%, followed by Cumbria (26.32%), Lancashire (27.88%), Tyne and Wear (28.99%) and Northumberland (29.37%).
Some of the current coldest spots are also some of the areas to have seen the most significant declines since Q1. Lancashire experienced the greatest drop at -26.29% along with Northumberland (-21.09%), County Durham (-6.93%), Bedfordshire (-3.77%) and Northamptonshire (-2.91%).
There are always areas across England that perform consistently well and those that don’t, but it is the swings in demand across the nation that provide the most interesting insight into where UK buyers are searching for property. Despite the higher price of property, the more southern counties seem to be increasing in demand, perhaps as previous low demand levels have reduced the price a touch, whereas the previously more popular counties to the north have suffered a decline.
Bristol seems to consistently rank as a top area for buyer demand which is good news for homeowners in the area, but on the flipside, those in County Durham won’t be as happy having seen prolonged degrees of weak demand.Russell Quirk
Property demand in Wales jumped an impressive +12.33% in the past quarter, the housing market in the country is clearly on the up after a tough few years and is performing better than anywhere else in the UK.
The second quarter figures show that Newport is the hottest spot in Wales with demand at 51.72%, Caerphilly is a close second at 48.29%, with the capital Cardiff at 45.83% and Monmouthshire (41.56%) and the Vale of Glamorgan (40.99%) completing the hottest spots.
Ceredigion experienced the highest climb in Wales from the first to second quarter – a +27.52% increase. Conwy (+21.34%), the Isle of Anglesey (+16.88%), Carmarthenshire (+14.63%) and lastly, Denbighshire (+13.70%) also enjoyed some of the largest increases in Q2.
The coldest spots in Wales are Denbighshire (15.19%), Pembrokeshire (16.68%), Gwynedd (18.86%), Ceredigion (20.09%) and Powys (20.46%).
The largest falls in demand were seen in Wrexham (-6.49%), Bridgend (-3.67%), Torfaen (-2.47%), and Powys (-2.09%) as the only other area in Wales to see a decrease.
The Welsh property market’s growth rate is well ahead of the rest of the UK in the last quarter as demonstrated by the latest industry data, which shows promise in renewing the nations property market and the wider economy. Although the industrial landscape may have all but vanished, Wales is evolving as a country, and its major cities have become go-to destinations for tourism, education and business. Not only is the nation on the up regarding its appeal, but it also has some of the most affordable property in the UK which is a driving factor behind the high demand currently seen in the Welsh property market.Russell Quirk
Demand across Scotland as a whole has fallen on average by -3.04% now at 36.21%.
The Scottish capital takes the top spot with demand in the City of Edinburgh at 58.26%. A tight race remains between the rest starting with East Renfrewshire (56.83%), the City of Glasgow (55.46%), West Lothian (54.50%) and Falkirk (50.19%).
Stirling saw the largest climb in the last quarter at +18.89% to 46.65%, followed by East Dunbartonshire (+16.01%), East Lothian (+13.01%), Midlothian (+10.73%) and the Highlands (+8.32%).
On the other side of the spectrum, the top five coldest spots start with Aberdeenshire (11.25%), the City of Aberdeen (11.76%), Angus (16.20%), Dumfries and Galloway (19.09%) and the Western Isles (22.55%).
The most significant reduction was seen in South Ayrshire with a fall of -53.72%, with demand now at 31.09%. The Orkney Islands saw the second largest decrease (-38.09%) followed by Angus (-21.88%) the City of Aberdeen (-16.61%) and the City of Dundee (-9.78%).
Uncertainty has plagued the UK’s housing market, specifically in Scotland, because of political instability first as a result of the Brexit vote last year and then through a renewed campaign of an independent Scotland. However, there are signs that the market will persevere with many of the nation’s major cities such as Edinburgh, Stirling and Glasgow growing in demand and will likely keep the Scottish market afloat.Russell Quirk