Which of the 8 new UK cities have the strongest/weakest housing markets?
As part of the Queen's Platinum Jubilee celebrations, the government announced that eight new cities are to be created to mark the special occasion.
With at least one in every UK nation, they are Dunfermline in Scotland, Milton Keynes in England, Wrexham in Wales and Bangor in Northern Ireland.
There's also a first Overseas Territory to get the honour, Stanley, in the Falklands, and a crown dependency - Douglas, in the Isle of Man.
Colchester and Doncaster complete the list getting the royal honour.
However, one estate agency says that each of the locations could see a £37,000 house price boost because of the city status – after prices rose by 12% for those towns that became cities for the Queen’s Diamond Jubilee in 2012.
Why were they created?
To be awarded city status, the civic honours contest saw applicants having to reveal what their royal and cultural heritage links are – and how city status would affect their communities and identity if they were granted it.
What are the benefits of having this title?
Some benefits of having the title of 'City' include increased tourism, improved infrastructure, and a lift to the local economy.
And that means that the local housing market should also see an improvement.
How have the housing markets performed between 2021 and 2022 in each one?
Nestled in the heart of southern England, approximately 50 miles northwest of the bustling city of London, Milton Keynes stands as a testament to modern urban planning. Born as a new town in 1967, it has flourished into one of the largest and most vibrant communities in the country, boasting a population exceeding 200,000. The housing market in Milton Keynes has experienced an impressive surge, with prices skyrocketing by an average of 11.7% between 2021 and 2022. Currently, the average home in this dynamic town commands a price of £301,469. The property landscape here is akin to a thriving garden, and predictions from estate agents hint at the potential for prices to bloom by an additional £36,875 this year.
Venture north to the charming town of Dunfermline, situated just 20 miles from the historic city of Edinburgh in bonny Scotland. With roots dating back to 1150, Dunfermline exudes regal charm as a royal burgh. Home to approximately 48,000 residents, the town's housing market has displayed resilience, witnessing a commendable average price increase of 14% in 2021. Presently, the average home is valued at £193,905, and whispers from the estate agency realm suggest that Dunfermline's property prices may ascend by an additional £19,534 this year.
Cross the Irish Sea to the enchanting town of Bangor, gracefully positioned about 10 miles east of Belfast in Northern Ireland. Hosting a population of around 56,000, Bangor has become a beacon of stability in the housing market, with prices climbing by a noteworthy 10% in the previous year. The average home in this coastal haven is now valued at £189,609.
Wales welcomes you to Wrexham, a historic town located 20 miles east of Liverpool, with a rich heritage dating back to its borough status granted in 1257. Home to approximately 61,000 residents, Wrexham's housing market has stood solid, showcasing an average price increase of 12.8% between 2021 and 2022. The average home in Wrexham now commands a price of £230,000, and according to estate agency predictions, prices here could ascend by £23,188.
Embark on a unique journey to the Falkland Islands, where the quaint town of Stanley awaits on the island of East Falkland. Crowned as the capital in 1845 and home to around 2,000 residents, Stanley's housing market has witnessed notable growth, driven in part by a scarcity of housing options. Prices rose by an average of 3% between 2021 and 2022, with the average home now priced at £180,000.
Venture to the Isle of Man, where the town of Douglas graces the landscape, located about 30 miles northwest of Liverpool. With a population of approximately 27,000, Douglas has maintained a steady housing market, experiencing an average price increase of 7% between 2021 and 2022. The average home in this coastal town now bears a price tag of £313,192, and prognostications from estate agents hint at a potential rise of £36,643 this year.
Make your way to the historic town of Colchester in Essex, England, positioned about 50 miles northeast of the vibrant city of London. Home to a diverse population of 104,000, Colchester's housing market has stood strong, witnessing an average price increase of 12% between 2021 and 2022. The average home in this historic town is now valued at £308,447, and there are whispers in the real estate realm of a potential rise of another £36,000.
Lay your eyes on the thriving town of Doncaster, situated in the heart of South Yorkshire, England, with a population of around 109,000. The housing market in Doncaster has been on a winning streak, experiencing an impressive average price increase of 14.2% between 2021 and 2022. Presently, the average home in this bustling city is valued at £201,824, with predictions suggesting a further rise of £18,291 on the horizon.
What was the UK house price market between 2021 and 2022 like?
According to the Office for National Statistics (ONS), the UK’s average house prices grew by 10.9% in the year to February 2022. That's up from January's annual price rise of 10.2%.
The ONS says that the average house price in February was £277,000 - that's £27,000 higher than February 2021.
In England, the average price of a house rose to £296,000 (10.7%), while in Wales is £205,000 (14.2%).
For Scotland, prices are £181,000 (11.7%), and the average house price in Northern Ireland is £159,000 (7.9%).
However, the ONS says that London is the region that has the lowest annual growth rate with prices rising by 8.1%.
UK's housing market is continuing to perform well
The data from the Office for National Statistics show that the UK's housing market is continuing to perform well, with prices rising in most cities between February 2021 and 2022.
The strong performance of Milton Keynes, Dunfermline and Bangor is particularly noteworthy, as they were performing well without their new City status - and look set to cash in with rising prices as a result.
Indeed, the new status appears to be good news for all those looking to buy or sell a property in one of the UK's new cities.
If you are one of them, it's important to seek expert advice from a qualified professional. They will ensure that you get the best possible price for your property and help the process be smooth and successful.
Added: January 25, 2023 10:08:03