North-South divide in house price confidence among home owners, survey finds
Home owners living in parts of northern England and Scotland are the most confident that prices in their area will increase in the next six months, a survey across Britain has found.
There is evidence of a North-South divide in house price confidence among home owners.
Those living in London and the South East of England are the least confident about property values pushing upwards, according to Zoopla.
Across Britain, more than eight in 10 (81.2%) home owners expect house prices in their area to increase over the next six months, with 18.8% predicting a decrease.
Among those expecting house prices in their area to increase, the average predicted rise is 4.8%.
Those expecting house prices to fall predict an average decrease of 6.5%.
Around nine in 10 home owners in Yorkshire and the Humber, the North West of England and Scotland expect values where they live to increase, making these the most bullish parts of Britain.
In Wales, just under nine in 10 (89.5%) people feel the same way.
By contrast, just over two-thirds (67.2%) of people in London expect to see rising prices – making this the least confident area of Britain.
Just over seven in 10 (73.9%) people in the South East expect to see prices increase.
The housing market in London and the surrounding South East has been seeing a cooldown recently, while some areas further north have continued to see house prices push up where demand is strong and housing affordability is less stretched compared with parts of the South.
Laura Howard, spokeswoman for Zoopla, said: “Whether or not these forecasts prevail, consumer sentiment plays a crucial role in the health of the housing market.
“A feeling of stability means buyers are more likely to start actively looking for their next home, confident that now is the right time to make a purchase.
“And, in turn, an active pool of buyers will encourage sellers to list their homes for sale.
“Measured confidence in the housing market is also more likely to see homes marketed at the right price which, by its nature, generates demand.”
More than 2,000 home owners were surveyed.
Here are the percentages of people in each region and nation who expect to see house prices increase in their area in the next six months, according to Zoopla:
1. Yorkshire and the Humber, 91.0%
2. North West, 90.5%
3. Scotland, 90.3%
4. Wales, 89.5%
5. West Midlands, 87.4%
6. East Midlands, 85.0%
7. East of England, 83.2%
8. South West, 82.3%
9. North East, 77.8%
10. South East, 73.9%
11. London, 67.2%