The value of North East homes jumped by almost 6 per cent, despite the region recording one of the country’s lowest annual increases in property prices.
London experienced a 5.5 per cent rise in average house prices followed by the North East with 5.9 per cent, according to the latest Office for National Statistics (ONS) figures.
In Yorkshire and the Humber there was a 9.8 per cent rise in average house prices in the 12 months to December 2021.
Those English regions with the highest increase in house values were the East Midlands (12.1 percent); South East (12.6 per cent) and the South West (13.6 percent).
According to the ONS, London has the highest average house price of £521.146 while the North East has the lowest at £147,214. The Yorkshire and Humber figure was £196,877.
In many cases house values are outstripping annual wage increases, which in April 2021 was 2.7 per cent in the North East and 4.9 per cent in Yorkshire and the Humber – making property an attractive investment.
Ben Quaintrell, founder and managing director of Darlington-headquartered estate agent My Property Box, which covers the North East and North Yorkshire, said that there is no sign of any let up in demand, a major factor in driving up values
He said: “While values have increased by an average 5.9 per cent, the North East has England’s lowest average property prices, a fact that is further stimulating the market. In addition, levelling up is attracting billions of pounds of investment to the region, which means property values will be more resilient long-term. Currently the North East market is proving equally attractive to both buyers and investors.
“We have also seen a huge jump in house values in areas such as Richmondshire and Hambleton in North Yorkshire, where people are seeking to change their lifestyle by moving to the country. This has been enabled by a move towards home or hybrid working arrangements.”
According to figures by Rightmove, most property sales in the North East involved terraced properties, selling for an average £138,393, followed by semi-detached for £168,967 and detached properties fetching £396,243.
In North Yorkshire, most sales involved semi-detached properties, selling for an average £236,297, with detached homes selling for £414,588, and terraced properties fetching £213,236.