Northern Powerhouse cities stealing a march on the capital

Northern Powerhouse cities stealing a march on the capital

With house price growth slowing in London during 2017, it is the Northern Powerhouse cities that appear to be stealing a march on the capital.

House price growth in London slowed to 5.6% in 2017 which is its lowest growth rate since 2013. House sales in the capital also decreased by 8% last year. Conversely, cities across the Northern Powerhouse such as Manchester, Leeds, Liverpool and Newcastle had momentous years and, according to many analysts, they are likely to be prime UK property hotspots throughout 2018.

House sales in Liverpool increased by 8% in 2017 and has been reported has having some of the top performing buy-to-let postcodes in the country with Liverpool’s L7, L6 and L15 postcodes achieving the best rental yields in the UK.

Meanwhile, property values in Manchester increased by 8.8% in 2017, putting it on the radar for many investors in 2018.

Backed by £556 million of government investment, the Northern Powerhouse is still firmly on the agenda and this continues to build confidence with investors both at home and overseas. It will be interesting to see the types of yields that northern cities deliver this year on the back of the continuing Brexit negotiations.