UK property investors seeking strong capital growth prospects could have a lot to gain from looking beyond London and southern England, the latest Hometrack UK Cities House Price Index has suggested.
None of the top ten cities in the most recent report – based on year-on-year price growth in August 2019 – were located in the south, with Liverpool and Manchester providing a particularly strong showing for north-west England, in second and third places, respectively.
Liverpool registered a strong annual price increase of 4.6 per cent, but continued to have the lowest average price (£124,700) of any of the 20 surveyed cities. This highlights why the famous northern city is such an appealing option for investors seeking a combination of affordability and capital growth potential.
Another destination that performed well in Hometrack’s latest monthly index was Cardiff, an up-and-coming property market that features in a recent investment guide created by Experience Invest.
The Welsh capital was fourth in the ranking, having witnessed year-on-year price growth of 4.1 per cent, up from the 3.9 per cent rate recorded in August 2018.
Cardiff has a range of strong factors in its favour, including a student accommodation sector with plenty of potential for growth, largely thanks to the three prestigious universities located in and around the city.
One of the clearest themes to emerge from the Hometrack UK Cities House Price Index for August 2019 was the price stagnation in London and southern England, particularly compared to northern and regional cities.
London registered growth of just 0.2 per cent during the month, having previously declined by 0.8 per cent a year earlier. Oxford, Portsmouth, Cambridge and Southampton also featured in the bottom six, following price increases of 0.5 per cent or lower in August this year.
For investors looking to secure maximum value through relatively low entry prices and scope for capital growth, cities like Liverpool and Cardiff are clearly a good place to start.
If you would like to find out more about current property investment opportunities in these destinations, give Experience Invest a call on +44 (0)207 834 1113, or book a consultation. If you would like to find out more about the current performance of the UK’s buy-to-let market, click the image below to access our latest guide.