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Postcode Property Index: Barclays Mortgages reveals the postcodes across the UK with the fastest rising house prices

  •  Barclays Mortgages has identified the most thriving postcodes in the UK’s top 20 cities, unveiling the areas that are out performing rivals
  •  Birmingham’s B16 leads the way (17 per cent increase) followed by Edinburgh’s EH2 (14 per cent) while the fastest growing market in London is E5 (5 per cent)
  •  As the national housing market shows signs of cooling, individual postcodes around the UK are bucking the trend

Barclays Mortgages has today unveiled its first ever Postcode Property Index, identifying the postcodes from the UK’s top twenty cities that have seen the fastest house price growth over the past year, with B16, covering Ladywood in Birmingham, leading the way.

Regional cities such as Birmingham have over-taken London when it comes to the annual rate of house price growth as jobs growth and attractive affordability boost demand for housing and push up house prices.

The Index shows that across the UK, individual postcodes are bucking the national housing market trend. The latest government figures show a slowdown in house price growth with September 2017 showing just a 0.4 per cent increase1, suggesting the housing market is continuing to cool post-EU referendum.

Despite this, data sourced by Barclays Mortgages from property analysts Hometrack revealed property prices in B16 (Ladywood) in Birmingham, which benefits from an abundance of restaurants and artisan coffee shops has seen property prices rise to an average of £171,121 in the past 12 months, an increase of 17 per cent – significantly more than the 5 per cent increase experienced by the city as a whole.

In Scotland’s capital city, those living in EH2 have seen their property values rise on average by nearly £50,000, or 14 per cent, in just one year. Perhaps unsurprising given the easy access to the buzzing city of Edinburgh, which was recently named as Scotland’s economic powerhouse by the Federation of Small Businesses2.

The UK’s other capital cities, however, have fared less well in the past year. Following a decade of significant property price growth in London, the average increase was down to just 2 per cent in the last year. The trendy area of Clapton saw the largest increase in property prices, but at only 5 per cent, this was still significantly below the figures that home owners have come to expect in the city. 

Across the Irish Sea, Belfast’s property market on the whole has also struggled in the past year, although the postcode BT5 has seen house price growth significantly outperform that of wider city. With more affordable housing, a number of good schools in the area and its position within a commuter belt supported by good transport links, the price growth is likely as a result of more young families moving to the area. The area also has a village feeling with coffee shops, delis and traditional grocers and butchers ensuring it remains high on the agenda for potential buyers.

The Welsh capital, Cardiff, has seen steady, if not exceptions, house growth in the past year. The area of Adamsdown in particular has seen healthy growth, with the average price of a property in the postcode now over £170,000. The area has seen significant redevelopment in recent years, partly to help accommodate the many students who have moved to the area to study at the University of South Wales which is located there, and this will have contributed significantly to its position in the Postcode Property Index.

 Barclays Mortgages Postcode Property Index:

City

Post code with fastest growing house prices

Post code towns/areas

Average house price in July 2016

Average house price in July 2017

Percentage growth in last year

Average percentage growth for the city in last year

Birmingham

B16

Ladywood

£147,121

£171,498

17%

5%

Edinburgh

EH2

Holyrood

£325,595

£372,592

14%

7%

Glasgow

G3

Finnieston

£161,454

£183,298

14%

5%

Manchester

M11

Openshaw

£93,774

£105,832

13%

7%

Hull

HU1

Central Hull

£86,778

£97,742

13%

4%

Bradford

BD3

Barkerend

£77,413

£85,978

11%

3%

Leicester

LE18

Wigston

£162,611

£177,263

9%

4%

Coventry

CV1

Bishopsgate Green

£120,377

£130,098

8%

7%

Bristol

BS1

Bristol

£255,729

£276,242

8%

4%

Nottingham

NG11

Ruddington

£151,025

£162,430

8%

5%

Belfast

BT5

East Belfast

£123,527

£131,690

7%

3%

Sheffield

S3

Neepsend

£105,501

£113,359

7%

3%

Leeds

LS2

Woodhouse

£141,162

£151,391

7%

4%

Liverpool

L21

Litherland

£92,967

£99,417

7%

3%

Brighton

BN41

Portslade

£289,550

£305,564

6%

2%

London

E5

Clapton

£511,300

£541,800

5%

2%

Wakefield

LS26

Central Wakefield

£167,480

£176,522

5%

3%

Cardiff

CF24

Adamsdown

£163,344

£170,385

4%

3%

Newcastle

NE15

Heddon on the wall

£108,203

£112,830

4%

2%

Sunderland

NE35

Boldon

£113,183

£117,609

4%

1%

 

Craig Calder, Director of Barclays Mortgages said: “It is fascinating to see the individual postcodes where property prices are growing at a very fast pace, particularly when they are significantly outstripping the city’s average growth. It demonstrates how changeable the property market currently is, not just around the UK but within each city.

“We also understand that it can be hard to really get a grip of what the property market is doing, making it challenging for both potential buyers and sellers. As such, we welcome both existing and new mortgage customers to speak with their mortgage broker or visit their local Barclays branch to talk to our colleagues about taking the next step in their property journey.”    

For information on Barclays range of mortgages go to Barclays.co.uk/mortgages
or visit a mortgage advisor in branch to give you a better understanding of your options.

Notes to editors

1UK Price Index for September 2017 from HM Land Registry, available here

2Research by The Federation of Small Businesses (FSB) can be found here.

Barclays analysed data provided by Hometrack (one of three service providers used by Barclays Mortgages). Barclays analysed the largest 20 cities in the UK by population size, identifying the change in house prices in the past year for the city as a whole, as well as within each postcode district.

About Hometrack

Hometrack provides residential property market insights, analytics, valuations and data services to over 400 partners including mortgage lenders, new home developers, investors, housing associations and local authorities. www.hometrack.com.

About Barclays

Barclays is a transatlantic consumer and wholesale bank with global reach, offering products and services across personal, corporate and investment banking, credit cards and wealth management, with a strong presence in our two home markets of the UK and the US.

With over 325 years of history and expertise in banking, Barclays operates in over 40 countries and employs approximately 85,000 people. Barclays moves, lends, invests and protects money for customers and clients worldwide.

For further information about Barclays, please visit our website www.home.barclays .