Yorkshire records strongest house price growth in England, Halifax index finds

Across the UK, the average value of a home in March was £296,699, down from £298,274 the previous month. But in Yorkshire, prices were up 4.2 per cent to an average £215,807.

This was the strongest performance of all English regions. Halifax said Northern Ireland continues to record the strongest annual property price growth, with prices rising by 6.6 per cent in March. It is followed by Scotland, with a 4.3 per cent annual increase.

The annual rate of growth remained at 2.8 per cent, which was unchanged from February.

Stamp duty changes took place from April 1, with “nil rate” bands shrinking. Stamp duty applies in England and Northern Ireland.

Amanda Bryden, head of mortgages at Halifax, said: “House prices rose in January as buyers rushed to beat the March stamp duty deadline.

“However, with those deals now completing, demand is returning to normal and new applications slowing. Our customers completed more house sales in March than in January and February combined, including the busiest single day on record.

“Following this burst of activity, house prices, which remain near record highs, unsurprisingly fell back last month.

“Looking ahead, potential buyers still face challenges from the new normal of higher borrowing costs, a limited supply of available properties to choose from, and an uncertain economic outlook.

“However, with further (Bank of England) base rate cuts anticipated alongside positive wage growth, mortgage affordability should continue to improve gradually, and therefore we still expect a modest rise in house prices this year.”

London saw weaker annual price growth, at 1.1 per cent in March. High house prices in the capital could leave some buyers paying significantly more under the stamp duty changes. London has the highest average house prices in the UK, at £543,370.

Alice Haine, personal finance analyst at Bestinvest by Evelyn Partners, said: “First-time buyers are likely to be stung the most by the stamp duty threshold changes as they now not only need to raise a deposit but must also find extra cash to fund a higher tax bill.

“Home-buyers are likely to be reassessing their options much more carefully now, as they have not only missed the boat to secure lower property tax charges but must also contend with a very uncertain economic outlook.

“Affordability levels may have improved slightly thanks to easing mortgage rates – a result of three interest rate cuts since August last year – along with resilient wage growth, but April is proving to be a challenging month.”

Nathan Emerson, chief executive of property professionals’ body Propertymark, said: “This house price reduction will be a huge disappointment to many sellers hoping to make gains on a house sale to climb up the housing ladder, but it could also be an opportunity for aspiring homeowners to take advantage of the slight reduction in house prices and take their first step, or next step, on to the housing ladder.”

Mark Harris, chief executive of mortgage broker SPF Private Clients, said: “The monthly dip in prices is unsurprising as borrowing costs, which have softened a little recently, remain higher than many buyers were paying not that long ago.

“However, with swap rates (which are used by lenders to price mortgages) falling considerably in recent days on the back of President (Donald) Trump’s tariffs, a significant margin has opened up between swaps and mortgage rates.”