Why there is a boom in apartment buying in Wakefield and Huddersfield and

Zoopla’s latest market report reveals house prices in Yorkshire rose by 7.4 per cent over the last 12 months, which is higher than the UK average of 6.5 per cent.The property portal also identified greater demand for apartments, which it believes is due to buyers being impacted by higher mortgage rates and a move back to cities, which were abandoned by some during the height of the pandemic.The difference in price between flats and houses is stark in many areas, supporting this shift in demand.
Sharon Dale
By Sharon Dale
Published 30th Jan 2023, 01:00 BST

Outside London, the average two-bed flat listed for sale on Zoopla is £196,000 and is almost £100,000 cheaper than an average three-bed home. One-bedroom flats are £150,000 cheaper.

Over a quarter of new buyers are now looking for one and two-bedroom flats, up five per cent on last year. Areas attracting the highest interest in apartment buying include Huddersfield, where demand has risen by 13.1 per cent and Wakefield where it has increased by 7.2 per cent.

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The average price for flats in Wakefield is £92,500 and in Huddersfield it is £104,700. Huddersfield has good rail and road links to Leeds and Manchester.

Wakefield Westgate Train Station, Wakefield, and its 20 minute journey to Leeds is attracting buyers to the city that also boasts The HepworthWakefield Westgate Train Station, Wakefield, and its 20 minute journey to Leeds is attracting buyers to the city that also boasts The Hepworth
Wakefield Westgate Train Station, Wakefield, and its 20 minute journey to Leeds is attracting buyers to the city that also boasts The Hepworth

Those who work in Leeds are migrating to Wakefield thanks to its close proximity to Leeds, which is a short drive away, depending on weight of traffic. The train from Wakefield Westgate to Leeds central is the biggest draw and takes just 20 minutes.

As for UK housing market activity and prices, Zoopla say that the start to 2023 will be more of a slow burn than in recent years with some households hoping to move in the coming year now waiting to see whether house prices and mortgage rates fall. Mortgage rates are now generally below 5% and look set to remain in the 4 to 5% range in 2023.

As the outlook becomes clearer after Easter, Zoopla believes that demand is likely to pick up further, though much depends on the economic outlook and the strength of the labour market, along with inflation and what this means for interest rates.

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The scarcity of supply in the market is also reversing and the average estate agent now has 23 properties for sale, up from a low of just 14 homes in early 2022.

Zoopla say this will not only provide more choice for would-be buyers, but it will also reduce the pressure on prices. However, it says that a key risk to overall sales volumes for 2023 is unrealistic seller expectations. Serious sellers will need to ensure their home is competitively priced.

Richard Donnell, Executive Director at Zoopla says: “The first few weeks of the year have got off to a stronger start than might have been expected given how market activity stalled at the end of 2022.

“We believe demand for homes has room to improve further in the coming weeks. Anyone serious about selling needs to be realistic on the asking price and needs to ensure this is in line with what buyers are prepared to pay.”

Related topics:HuddersfieldWakefieldYorkshireLeedsZoopla