According to research by Halifax, 2015 data is showing that Newham in London has recorded the largest percentage of house price increases out of all the major UK cities and towns, increasing values from £261,399 to £319,522.The data suggests the average house price in the borough of London was 22% higher than in 2014, which is almost double the 12% increase in London as a whole.
The second biggest rise in average house prices was seen in Royston, Hertfordshire with an increase of 19%. All ten of the top performers were in the south east of England and London.
The 10 worst performing towns were outside of London and the surrounding south east. There was an exception for Kensington and Chelsea (the country’s most expensive area), where the prices increased by just 1% throughout 2015.
The housing economist at Halifax, Martin Ellis commented “Those areas that have seen the biggest house price increases over the past year are either in outer London or within close commuting distance of the capital. Demand in these areas has risen as rapid house price rises in central London in the past few years have caused increasing numbers of people to look for property in more affordable areas”.
He continues “A few towns have experienced modest price falls. These areas are typically still suffering from relatively weak employment and economic conditions, which has dampened local housing demand.”