Prices are growing fastest in the UK’s most affordable cities

Which Northern city has seen the fastest rate of house price growth this year?

Liverpool is the fastest growing city for house prices in the UK, with an annual rate of inflation of 7.5%, according to Hometrack.

The Northern powerhouse is followed by Glasgow (7.2%) and Nottingham (6.9%), making up three cities that are also among the most affordable.

In fact, prices in Liverpool are still 4% lower than they were during the 2007 house price peak.

UK city house price inflation is running at 3.9%, up on the 3.6% a year ago, with scope for further growth in the most affordable cities, according to Hometrack, where prices are currently rising fastest.

Prices falling

Despite overall rises, three cities have seen house prices fall over the last year – Aberdeen (-3.8%), London (-0.3%) and Cambridge (-0.1%).

Despite the recent increase in the oil price, average house prices in Aberdeen continue to decline and have been falling for exactly three years. From a recent high of £198,000 in December 2014, house prices have fallen back to £164,000, a decline of 17%, wiping out similar sized gains made between 2012-2014. Hometrack explained that this highlights how local economic shocks can result in price falls, even though house prices are growing nationally.

Article originally posted by Your Mortgage