Average house prices have been falling for much of the year but some areas are bucking the trend.
High mortgage rates have pushed property demand down this year and house prices indices from Halifax, Nationwide and the Office for National Statistics have all recorded drops in average house prices.
But these figures are national and don’t reflect local markets so while the latest Halifax House Price Index showed average values were down by 1% annually in November, some parts of the UK have seen rises of up to almost 9%.
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“Across the UK, this year's market has been hit by the squeeze on mortgage affordability, but there's been a big difference in how house prices have performed in towns and cities across the country,” says Kim Kinnaird, director at Halifax Mortgages.
“House prices can be swayed by many factors, from the number of homes for sale, the local jobs market, and services like education and public transport.”
Where have house prices grown in 2023?
Analysis of UK house price data by Halifax shows while much of the market has dropped this year, average values in Huddersfield are up 8.7% annually, a £22,137 rise to £275,438.
The figures are based on Halifax and Bank of Scotland mortgage approvals in the 12 months to October 2023, so are a reflection of the value of transactions in this period rather than what your home may actually be worth. But it still provides a useful indication of value.
The research also found that average values rose by 8.5% in Bradford or up £15,183 to £193,468.
| Area | Average house price | Annual growth |
|---|---|---|
| Huddersfield | £275,438 | 8.7% |
| Bradford | £193,468 | 8.5% |
| Falkirk | £207,842 | 6% |
| Hillingdon | £529,229 | 4.5% |
| Newport | £255,595 | 3.7% |
| Bexley | £455,097 | 2.9% |
| Newham | £476,191 | 2.8% |
| Preston | £256,929 | 2.7% |
| Rugby | £347,808 | 2.1% |
| Inverness | £237,490 | 0.5% |
The biggest fall in average house prices was in Stoke-on-Trent, down 15% or £30,978 to £174,910 followed by Perth in Scotland where typical prices dropped 14.1%.
| Area | Average price | Annual decline |
|---|---|---|
| Stoke-On-Trent | £174,910 | 15% |
| Perth | £208,278 | 14.1% |
| Stockport | £305,580 | 13.3% |
| Chelmsford | £417,581 | 13% |
| Livingston | £259,090 | 13% |
“Buying a home in Huddersfield or Bradford may well have cost considerably more in 2023 than it did last year, but that’s not the case in Stoke-on-Trent, for example, which might now be offering better value for money,” adds Kinnaird.
“However, when buying a home is such a major financial commitment, it’s important to consider the longer-term trends. Many homeowners will feel reassured to know that the average UK house price remains around £40,000 higher than before the pandemic.”
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