Some of the country’s strongest property price growth is happening in commuter towns in the North, with buyers increasingly looking for better value outside of the major cities.
The latest analysis from Rightmove reveals that commuter towns around Manchester and Glasgow dominate its list of the 15 fastest-growing locations, with 11 of the top 15 located nearby.
Rochdale is one of the strongest performers, where average asking prices have risen by 8.7% over the past year to £238,115, putting it second only to Falkirk in Stirlingshire, where prices have jumped by 13.5% to £183,596.
Other North West locations also feature prominently. Asking prices in St Helens have risen by 7.8% to £192,570. Wigan has recorded growth of 6.2% with average prices of £193,347 and Stalybridge is up 5.6% to £265,378.
The growth comes despite a much weaker overall picture. Rightmove’s latest House Price Index shows national average asking prices are 1% lower than they were a year ago. And there is a clear regional divide, with prices in the North of England up 1.5%, compared with a 1.8% fall in the South.
Affordable areas outperform major cities
Affordability appears to be one of the main drivers behind the strong performance of commuter locations, with most of the fastest-growing areas having average asking prices below £250,000.
Many are also outperforming their destination cities. Average asking prices in Manchester have risen by just 1.8% over the past year to £261,212, compared to growth of between 5.6% and 8.7% in Rochdale, St Helens, Wigan and Stalybridge.
There are signs that buyer demand is following a similar pattern. Separate Rightmove research earlier this summer found Stockport was the most popular Manchester commuter town among buyers, attracting 70% more enquiries per available property than Manchester itself.
Stalybridge and Rochdale appeared in that same research, generating 10% and 9% more enquiries per property respectively than Manchester.
Rightmove property expert Colleen Babcock says: “Our data highlights two very different stories playing out across some of Britain’s commuter markets. In the more affordable locations around Glasgow and Manchester, asking prices are rising strongly as buyers look for value within reach of major cities.
“Meanwhile, some of the more expensive commuter hotspots are seeing prices ease, which could create opportunities for buyers who may previously have been priced out.
“For anyone considering a move, it’s a reminder that looking a little further beyond the main city locations can often open up more options and better value for money.”
Midlands joins northern growth
And the trend is not confined to the North West and Scotland. Wolverhampton is another of the 15 fastest-growing commuter locations, with average asking prices rising 5.2% to £230,737.
That compares with nearby Birmingham, where asking prices have fallen by 0.6% over the past year to £251,340.
Southern commuter markets lose ground
The picture, however, is very different in some of the traditionally more expensive commuter markets in southern England.
Haywards Heath in West Sussex recorded the largest annual fall among the locations analysed, with average asking prices dropping 4.8% to £461,066. Maidenhead was down 3.9% to £571,686, and Reading fell 2.9% to £377,211. London saw average asking prices fall 3.1% over the past year to £646,451.
Rightmove’s research was based on annual changes in asking prices in commuter locations around six major cities – Manchester, Glasgow, Birmingham, Cardiff, Bristol and London.
