The latest data from Hometrack has revealed a positive picture of house price growth in cities across the UK. Find out which Scottish city topped the list.
The past 12 months have seen house price inflation rise to 5.5%, up from 3.7%, according to Hometrack.
Edinburgh leads the way with prices growing by 8.1% over the last year, although this trend hasn’t extended to all Scottish cities, with Glasgow only managing a rise of 2.5% and Aberdeen sitting at the bottom of the table with prices falling by -6.6%.
Large regional cities including Nottingham, Manchester and Birmingham also posted strong results, with year-on-year growth of 8%, 7.4% and 7% respectively.
Aside from Aberdeen, the only other city to see a fall in house price growth is Cambridge, which has dipped by -1.2% in the last year.
City level growth – March 2018
|City||Current price||%yoy Mar-18||%yoy Mar-17|
|20 city index||£254,900||5.5%||3.7%|
Source: Hometrack UK Cities House Price Index
Cardiff, Leeds, Newcastle and Sheffield have all recorded a sustained upward shift in the annual rate of growth. These cities had underperformed in the past two years, but rising demand and a lack of housing stock has led to house price increases.
Meanwhile in London the market has seen nominal growth of 1.6%, with Hometrack saying that there is no sign of this falling into negative territory in the near term.
Above: This two-bedroom flat in Edinburgh has a plethora of original features and views of Arthur's Seat. It's on the market for £215,000.
The capital does take the title as the city with longest sales period, with properties taking 17 weeks to sell.
This is a result of sales not keeping pace with new supply, as there are 1.5 homes going on the market for every sale. Oxford and Cambridge are also seeing an imbalance between sales and supply.
The upshot is sellers in London needing to be more realistic with their asking prices.
Hometrack says: “We expect house prices across London to continue to post modest falls in real terms over the next 12-24 months as prices re-align to what buyers are prepared to pay.
"It is early days, but there are some tentative signs that sales volumes could start to stabilise over 2018 as a result of more realistic pricing.”
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Top 3 takeaways
- Overall UK city house price inflation is running at 5.5%
- Edinburgh, Nottingham and Manchester registered the highest year-on-year growth
- Only Aberdeen and Cambridge saw dips in house price growth