Tepilo outlines which cities have had the highest house price growth since 2007, and why city sellers should be optimistic.
If you're selling a home, you'll want to know if you're in an area that has experienced high house price growth in recent years. If you are, your chances of selling your home for its asking price or above goes up considerably, as demand will be high and competition fierce among would-be buyers.
Well, new research carried out by Lloyds Bank has revealed that Cambridge – the iconic university city which now also has a reputation as a major tech hub – has experienced the highest house price growth in the last decade.
The city famous for punting and the Footlights rose from fifth position in 2016 to top spot in 2017, recording the biggest average price increase of any UK city in the past 10 years, up by nearly half (47%) from £288,403 in 2007 to £422,589 in 2017. This compares favourably to the average nationwide rise of 12%.
St Albans – once a key Roman city known as Verulamium and now a popular commuter hub – was the second biggest riser (up by 44%), followed by Brighton & Hove (39%), Greater London (31%), Cardiff and Canterbury (both 29%).
Southern England was once again the dominant party when it comes to high house price growth, with nine out of 10 of the best performers since 2007 found in this region. The only exception to this rule was the Welsh capital Cardiff.
In the last five years, meanwhile, London has witnessed the highest house price growth, rising by 61% from £298,940 in 2012 to £480,800 in 2017. Coventry – recently voted as the UK City of Culture for 2021 – was next in line, with a 55% increase in average house prices, while Cambridge, Ely and Lisburn (Northern Ireland) all experienced house price growth of 54% over the last five years.
Average price rises to highest ever level
In the last five years, average house prices within UK cities have increased by 36% from £171,745 in 2012 to its highest ever level of £232,945 in 2017.
Aside from London, where the average house price is around £480,000, sellers who live in Oxford also have plenty reason to cheer with homes costing an average of £429,775.
House prices are also beginning to soar in the South West, with Truro in Cornwall recording an average price of £259,705 in 2017, while Exeter saw an average price of £274,093. Prices were also high in Brighton & Hove, Cambridge, Bath and Winchester, while Leicester and York also witnessed significant price rises in the last year.
City living suits many
One of the main advantages of being a seller in a city is the appeal city living has to a wide range of buyers. It suits the lifestyles of many, none more so than young professionals eager to have good transport links, bars, restaurants, leisure opportunities and green space on their doorstep. It also makes sense for people to live in the same city in which they work, in turn cutting both their commute times and costs.
City living isn't always as affordable for buyers, but that doesn't prevent demand from being high. The lure of the big city is strong enough to offset worries about affordability. And in some parts of the country, such as Manchester, Birmingham and Liverpool, living in the city can actually work out more affordable than living on the outskirts.
If you're a city seller, you have a ready-made sales strategy, pointing out the benefits of city living and having everything you could possibly need within a short distance. The appeal of city living and high demand from buyers won't be enough on its own to get your home sold, of course, but it will help significantly.
Making sure your home is attractive, well-maintained and has good exposure on all the major property portals will also further increase your chances of getting your home sold.