Official statistics show that house prices across Lancashire are showing steady increases over the 12 months to May 2019. The statistics from the Land Registry, which are based on the official records of house sale values that took place over the period, show that the region’s biggest winner was Burnley, where the average price of a house rose by 10 per cent over the year to £86,204 in May.
Other areas that saw a notable increase include Hyndburn, which saw a 0.9 per cent rise in the average property price to £93,574 and Rossendale, where the increase was four per cent to £137,345.
Property values in some parts of the region faltered, including the Ribble Valley, where the average sale value fell by 3.2 per cent to £214,323. The figure to May 2019 however followed a 5.5 per cent rise in the previous 12 months, therefore averaging out at a steady gain over the 2 year period.
There are many areas of the region that have seen investment in infrastructure and facilities so it is good to see that these are being reflected in house values. Although there has been a slowdown in the housing market, which has largely been attributed to uncertainty around Brexit.
We are still experiencing a good level of demand for our RICS Homebuyer surveys and building survey reports – which are both typically required when a house purchase is taking place. Particular hotspots we’ve noticed include Morecambe, Lancaster and Leyland. We have also been busy with work in Clitheroe, South Ribble and Chorley where there are a number of new-build developments.
Although we are regularly conducting valuations and survey reports across all types of property, the majority of our workload has been concentrated in smaller properties/those at the lower end of the price spectrum. This suggests that there are more first time buyers coming onto the property ladder, with fewer people from larger homes choosing to move. Although this is positive on one hand, it may start to result in a bottleneck at the mid to upper end of the market as those either looking to move to a larger home or those trying to downsize struggle to find something suitable.
Overall, we at Lea Hough remain positive about the overall picture for the Lancashire housing market – it’s not all doom and gloom!