With Brexit ever looming, it’s natural for us to fear for the future of our country. Mark Carney, governor of the Bank of England, has recently warned that a no-deal Brexit could slash house prices by up to 35%, leaving us significantly worse off before we’ve even put our properties on the market.
To shed light on the housing market predicament, property experts Fasthomes.org sought to reveal the proportion of properties listed at above vs. below a city’s average property value for the month of February.
Using Zoopla’s average property values search tool, data has been collected using the average property market value of 15 populous English cities. From here, the number of properties currently listed at prices above and below the city’s average were obtained through normal search queries, and percentages calculated related to the total number of properties for sale in that area.
What are the results?
Fasthomes can reveal that the city with the most property price disparity is Newcastle (average house price £209,158), where a whopping 76% of properties on Zoopla are listed below the city’s average market value in February alone. Regarding prices below city averages, Sheffield closely follows with 70% of its properties listed below average (average house price £201,521). Whilst Liverpool and Norwich are joint third at 69% below average.
Moving onto above average property listings, Hull takes first place with 72% of asking prices above its average of £143,105 in February, and in close second is Nottingham with 69% (average house price £205,697).
The cities with the most balanced distribution of property price listings are Manchester and Birmingham. They both list 48% of their properties above their city average values with the remaining 52% falling below. Manchester has an average property value of £190,214, whilst Birmingham’s property market value is indicative of £205,036.
Unsurprisingly, London lists the highest number of properties, but its proportion of listings deserves closer appraisal. 62% of properties in London are listed below its average value of £645,363, prompting the question of whether this is a conscious effort to combat the city’s affordability crisis, or a mirror of the countrywide falling of prices.
A representative for Fasthomes.org commented:
“These stats are especially significant considering the uneven political ground we currently find ourselves in. While the potential repercussions of Brexit have been discussed extensively, we see a positive in this trend for first-time buyers. Especially where listings are favoured towards lower than average values (Newcastle, Liverpool, Sheffield, Bristol, Norwich), making it somewhat easier to afford, enabling first-time buyers to increase their chances of owning their own home earlier.”
All property prices have been obtained from Zoopla and extracted on 25th February 2019.