HOUSE prices in some parts of the UK have soared by over 15% in the last year, new figures reveal.
Analysis from Halifax shows York saw the biggest rise in the 12 months up to November, with house prices there growing by a staggering 23.1%, or £69,649 in cash terms.
The areas that saw house prices go up the most and least in 2022
Next was Woking, which saw an average 19% jump in property prices, or £93,626 in cash terms.
Not all areas saw price jumps though.
Leicester saw prices drop by 3.6% while Hull saw property prices fall by 2.9%.
The property market has experienced a tumultuous last few months, particularly following the government’s disastrous mini-budget.
It caused mortgage rates to shoot up to a 14-year high in September, although they have since fallen.
Figures from Moneyfacts show that the average two-year fixed-rate mortgage was at 5.82% in December.
It means people are holding off from buying homes which in turn has led to house prices falling.
Halifax said house prices fell by 2.3% in the month to November, the biggest monthly drop in over a decade.
But house prices have still surged in most parts of the UK over the last year due to pent-up demand following the Covid-19 pandemic and the government’s stamp duty holiday.
The figures from Halifax show in Wales, Swansea recorded the highest rate of house price growth, with prices there increasing by 17.5%.
The South East saw the highest percentage jump, with house prices there on average climbing 14.1%.
Meanwhile, London saw the lowest jump – prices there went up by 7.2%.
Of course, it’s important to remember Halifax’s index is just one indicator of house prices.
But Rightmove’s December price index said house prices had gone up 5.6% in the previous 12 months while Nationwide’s November index said there had been a 4.4% increase in the previous 12 months.
Kim Kinnaird, mortgages director at Halifax, said: “Overall 2022 was another year of rapid house price growth for most areas in the UK.
“And unlike many years in the past, the list isn’t dominated by towns and cities in the South East.
“Nowhere is that more the case than in the cathedral city of York, which saw the highest property price inflation across England and Wales this year, rising by over a fifth.
“While existing homeowners will welcome the increased value of their home, such a jump makes it much more challenging for those looking to step on to the property ladder or move into the city.”
Tom Bill, head of UK residential research at estate agent Knight Frank, added: “This year saw the ‘escape to the country’ trend wind down while the return to towns and cities gathered pace.
“York captures the best of both of those worlds. Many people moved to Yorkshire during the pandemic due to family ties and the relative affordability compared to areas such as the Cotswolds.
“Meanwhile, the strength of south-east England underlines the gravitational pull of the capital as the economy reopens.
“London prices were more muted due to affordability constraints that predate the pandemic, which mean prices in the commuter belt and beyond should continue to outperform the capital in the medium-term.”
According to Halifax’s index, the cities and towns in England and Wales with the strongest annual percentage increases in house prices in the 12 months to November 2022 were:
- York, Yorkshire and the, Humber – 23.1%
- Woking, South East – 19.0%
- Swansea, Wales – 17.5%
- Chelmsford, East of England – 16.8%
- Kettering, East Midlands – 15.9%
- Derby, East Midlands – 15.8%
- Wellingborough, East Midlands – 15.5%
- Peterborough, East of England – 14.9%
- Bristol, South West – 14.8%
- Cambridge, East of England – 14.8%
- Brentwood, East of England – 14.4%
- Bournemouth, South West – 14.3%
- Hove, South East – 14.2%
- Colchester, East of England – 14.0%
- Birmingham, West Midlands – 13.8%
- Milton Keynes, South East – 13.5%
- Newcastle-upon-Tyne, North East – 13.1%
- Nottingham, East Midlands – 13.0%
- Southampton, South East – 12.9%
- Cheltenham, South West – 12.7%
These are the towns and cities with the weakest annual growth in house prices in the 12 months to November:
- Leicester, East Midlands – minus 3.6%
- Hull, Yorkshire and the Humber – minus 2.9%
- Maidenhead, South East – minus 2.2%
- Stoke-on-Trent, West Midlands – minus 1.7%
- Islington, London – 0.4%
- Tower Hamlets, London – 0.7%
- Westminster, London – 0.9%
- Lambeth, London – 1.4%
- Weston-Super-Mare, South West – 1.4%
- Hackney, London – 1.7%
- Harlow, East of England – 1.8%
- Warrington, North West – 1.8%
- Huddersfield, Yorkshire and the Humber – 1.9%
- Oldham, North West – 2.0%
- Newport (City of), Wales – 2.3%
- Wakefield, Yorkshire and the Humber – 2.4%
- Southwark, London – 2.5%
- Lewisham, London – 2.7%
- Gloucester, South West – 2.8%
- Camden, London – 2.9%
