Revealed: the affordable property hotspots ‘on the up’

New research by Which? Mortgage Advisers reveals where homebuyers can find homes under the national average of £200,000, in areas that have seen the biggest increase in property prices in the last year.

The new Which? analysis, and interactive property price map, reveals the areas of the country which have seen the largest increase in property price in the last year, yet remain below the national average property price of £200,000. These areas on the up could be prime locations for first-time buyers or investors.

The analysis of Land Registry data reveals that Liverpool’s central ‘L1’ is the top affordable area on the up, having seen a property price increase of 41.2% in the last year. An average property increased in value from £85,000 between December 2011 and November 2014, to an average of £120,000 for the year to November 2015.  

Second and third were Conwy’s ‘LL27’ in North Wales and Bradford’s ‘BD1’, just east of the city’s University. Average property prices in these postcode areas increased by 37% and 36% respectively. In Conwy’s ‘LL27’, the average property price rose from £135,000 between 2011 and 2014, to £185,000, and in Bradford’s ‘BD1’ they rose from £42,000 to £57,000. Despite the significant increase in average property prices in these areas, they remain under the national average.

Even in the capital where prices are higher, Bexley’s ‘DA18’ had affordable homes with potential to increase in value. The average property price in DA18 was £191,500, up by 32% in the last year.

David Blake at Which? Mortgage Advisers said:

“For a first-time buyer or a buy-to-let investor, these up and coming areas can provide an affordable alternative to buying in an already established area. You could see your property grow in value quickly, but it’s important to remember that property markets can change, and there is never a cast-iron guarantee that values will continue to rise.

“A mortgage is a significant financial commitment that needs to be considered carefully. Seeking independent mortgage advice early on is vital in order to know what options are open to you.”

To use our interactive map illustrating property prices in your postcode area, or for our top tips on what to look out for in an up and coming area, visit:

Table of findings:

Local Authority Area Postcode District % change in average property price in the last year compared to previous 3 years Average property price Dec 2014 – Nov 2015 (£) Average property price Dec 2011 – Nov 2014
Liverpool L1 41% 120,000 85,000
Conwy LL27 37% 185,000 135,000
Bradford BD1 36% 57,000 42,000
Salford M5 34% 127,890 95,500
Manchester M12 32% 98,000 74,000
Bexley DA18 32% 191,500 145,000
Gwynedd LL23 29% 155,000 120,000
Coventry CV1 28% 128,000 100,000
Leeds LS3 28% 125,000 98,000
Birmingham B3 27% 159,000 124,950

Which? Mortgage Advisers provides the following tell-tale signs that an area may be ‘on the up’:

  • If an area is next to currently thriving town
  • If a local authority plans to regenerate the town centre
  • If there are plans to improve transport links
  • If new trendy shops, restaurants, cafes and nightlife start to appear
  • If you see skips and scaffolding -an indication of increased prosperity and improved housing stock
  • New build properties appearing – often increasing the value of surrounding properties too
  • New schools being built or current ones climbing Ofsted rankings – often property values in the surrounding catchment area increase too
  • New estates agents appearing – a sign of a growing property market

Notes to Editors:

  • Which? Mortgage Advisers analysed Land Registry prices paid data and looked at the residential property sale prices in postcode districts (also known as outcodes) in England and Wales. We selected the postcode districts whose average (median) property sale values were below the national average (£200,000) in between December 2014 and November 2015, and then ranked them according to change in prices, compared to the median of three previous years together (December 2011 to November 2014).
  • Which Which? Mortgage Advisers is a Which? service launched in 2010. When an important market fails to deliver value to customers, we develop products and services that put customers’ needs first. Which? Mortgage Advisers provides truly independent whole-of-market mortgage advice. You can find out more by visiting:

Press Release: , , ,