House prices 'growing faster in the North than in London'

House prices in Manchester, Birmingham and Newcastle will be growing faster than in London by the end of the year as bargain hunters turn to cheaper property in the North of England, a report has forecast.


The average property price in the capital rose 0.3 per cent between September and October to reach £402,800, according to analysts Hometrack.


By comparison, property prices in some cities outside the South East jumped by more than two per cent during the same period.


The cities where property prices were rising fastest were Milton Keynes, up 2.2 per cent, Middlesbrough, up 1.2 per cent, and Blackburn and Gloucester, both up 1 per cent. 

 

Hometrack's data showed that house prices grew 0.3 per cent in Manchester and Birmingham in October and 0.4 per cent in Newcastle.

He said returning confidence in the economic recovery had convinced more buyers to seek property in less fancied part of the country, where prices were lower.

The data showed the average home in Newcastle is priced at £123,800 – around a third of the price in London. 

 

 Source: www.telegraph.co.uk