Recent data from Zoopla has revealed that Leeds' house prices have risen more than almost every other city in the UK. While 2020 was a difficult year for some, in Leeds property prices grew by an average of 5.6%. Therefore, a Leeds property investment made during 2020 will have already proven itself a good choice.
2nd Highest performer in the North
Manchester, just in front at 5.7 percent, was the only other city which saw higher house price growth during 2020. Other northern areas also performed well, with properties rising by 4.9 per cent year-on-year in the Yorkshire and Humber region.
In terms of affordability, the North still tends to outperform the South. London is still the most expensive area for housing, while the north is the cheapest. Investors should look further north to towns like Leeds for property investment for the best returns.
Investment Opportunity
These figures have again shown the investment opportunities that Leeds has. As property prices remain low at £175,000, it means that a Leeds property investment can be easily accomplished with good capital growth.
Despite property prices increasing slightly more in Manchester, Leeds still has higher property prices on average at over £215,000.
Results of the pandemic
The overall UK property market performed favourably in 2020, even though the northern property market saw the best results. In reaction to the pandemic, the national lockdowns have made individuals reassess their living conditions, with many leaving to enhance their quality of life. A rise in sales has also been triggered by the stamp duty holiday.
During 2020, the average increase in sales agreed was 9.1%, with Leeds seeing the greatest rise of all of Britain. The figure was just under 8.1% for the Yorkshire region.
The director of research and insight at Zoopla, Richard Donnell, said, “The housing market is ending 2020 strongly with more buyers looking for a home than this time last year.
The ‘once in a lifetime re-assessment of housing’ kick-started by the pandemic has further to run in our view and this will support demand into 2021.”
Nationwide’s chief economist, Robert Gardner, agrees and said that, “The resilience seen in recent quarters seemed unlikely at the start of the pandemic.
But, since then, housing demand has been buoyed by a raft of policy measures and changing preferences in the wake of the pandemic.”
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