Yorkshire and the Humber has topped the table for price rises in the UK House Price Index with an average 14 per cent year-on-year growth in values. The UK average house price rise is 10.2 per cent between March 2020 and March 2021, according to the latest figures from the Office for National Statistics.
The lowest annual growth was in London, where prices increased by 3.7 percent in the year to March 2021.
This increase has brought the average Yorkshire house price to £188,575 and the UK average house price to £256,405.
Estate agents are run off their feet as more people join the rush to move home. The latest UK property transactions statistics showed that in March 2021, on a seasonally adjusted basis, the estimated number of home sales with a value of £40,000 or greater was 190,980. This is 102.4 percent higher than a year ago. Between February and March 2021, UK transactions increased by 32.2 per cent.
The Bank of England’s agents summary of business conditions in the first quarter of this year 2021 reveals that the outlook for the housing market had improved, with activity supported by the extension of Stamp Duty holiday and of the Coronavirus job retention scheme.
Meanwhile, estate agents are increasingly concerned about a shortage of properties for sale and say that buyers appear to be less price sensitive than normal. The latest report from Hometrack bears this out and says that the number of homes being listed for sale has not kept pace with buyer demand for most of the last 12 months, eroding the total number of properties available in most markets, with a particular drop in the availability of family houses.
In the first half of April, the number of homes for sale was nearly 30 per cent lower than average during the same period in 2017-2019.
Patrick McCutcheon, Head of Residential at Dacre, Son & Hartley estate agents, says: "It is interesting to see these official statistics because while we are aware that prices have been nudging up in what is a very busy market, the 14 per cent rise in Yorkshire is an eye opener.
"However, I am not surprised. All the fundamentals are there. Interest rates are low so borrowing is cheap and looks set to remain so and there are also incentives for first-time buyers, including the availability of 95 per cent mortgages.
"The Stamp Duty holiday has helped the market but more than that people are keen to move and to change their lifestyles and that is the main driver."
He adds that the rise shows that residential property is a good, long-term investment. "A wealthy Dales farmer I knew who when asked how to make money always said 'Buy property, live long' ".