Over the past two years the average property in Nottingham has risen in value by a quarter. It is one of a constellation of Midlands towns whose property markets have soared, bucking the pandemic-fueled urban exodus.
Of the 10 English cities with the highest house price increases over the past two years, half were in the Midlands. Nottingham came first, followed by Leicester and Birmingham, according to the Hamptons estate agency.
The Midlands has long been the engine of house price growth in the UK, in part because of the relative affordability of housing there. Gráinne Gilmore, of property website Zoopla, said: “Even after steep price increases over the past year, average house prices in Birmingham and Nottingham are a third below the UK average and are still 16% lower than Leicester, indicating relative affordability in these markets.
“The mix of inventory in these towns has also contributed to price growth, with the pandemic ‘search for space’ driving semi-detached house prices particularly sharply, which is particularly the case in Leicester.”
The rise of flexible working has pushed workers in the capital north in a quest to optimize resources. The stamp duty exemption has particularly helped these buyers, as lower property prices have allowed them to save a higher proportion of the value in tax.
The region has also been helped by huge investments in regeneration, as well as major infrastructure projects promising smoother travel, such as HS2.
House prices in the East Midlands are expected to rise by 4% and in the West Midlands by 3.5% in 2022, according to Zoopla, which is among the highest in the UK.
These are the towns in the Midlands with the fastest rising house prices and the hottest property markets, where families and investors crowd.