Top 10 property hot spots where house prices increased by up to £2,041 a month including pretty market town
HOUSE prices soared for millions in 2024 – and some hotspots saw growth of up to £2,041 a month.
Properties in Berkhamsted, Hertfordshire, went up by an average value of £24,500 across the year, according to new data from Zoopla.
Meanwhile, homes in Waltham Forest, London, spiked by an average of £725 a month across the 12-month period.
House prices in Carluke, Scotland, soared by an average of £741 a month, which is around £8,900 a year.
East Midlands town Glossop also recorded strong house price growth, with the average price rising by £583 a month.
Peterlee in the North East, Blackburn in the North West and Thame in the South East were three other hot spots where the value of homes soared dramatically.
Yearly prices there grew by £6,100, £8,100 and £5,600, respectively.
The data from Zoopla also revealed half of the UK’s 30million homes increased in value in 2024 as house prices returned to growth following a fall over 2023 due to higher mortgage costs.
Costs soared in 2023 after the Bank of England (BoE) hiked its base rate to a peak of 5.25%, which was passed on to mortgage holders.
A total of 15million properties spiked in value by 1% or more last year, up 42% from 10.6million homes in 2023.
The average increase in the value of these homes was £7,600.
Meanwhile, almost seven million homes recorded a price increase of £10,000 or more across the 12 month period.
However, 9.2million homes recorded a price decline of 1% or more, compared to 12million in 2023.
The price of six million homes remained the same, Zoopla said, meaning they went up or down by less than 1%.
Richard Donnell, executive director at Zoopla, said: “The housing market returned to growth in 2024 but the pattern of home value changes across Britain is far from uniform.
“There is headroom for prices to increase in markets where housing is affordable compared to incomes which covers many parts of northern England and Scotland.
“In contrast, affordability is more of a constraint on price rises in Southern England, where the market continues to adjust to higher borrowing costs.”
How did house prices change regionally?
Zoopla said a clear North-South divide remained in place in house price terms.
The property website said just 36% of homes in Southern England increased in value by over 1% across the year.
That’s compared to three in five in Northern England and Scotland rising in price by more than the same percentage in 2024.
Zoopla said house prices in the north of England increased by an average of £4,300, with one in five homeowners seeing growth of £10,000 or more.
Meanwhile, 63% of homes in the North West of England increased in value by 1% or more, averaging price rises of £4,400.
In Scotland and Yorkshire and the Humber, six in ten homes also gained value in 2024, with average increases of up to £19,300.
What’s next for house prices?
Zoopla has previously suggested house prices will rise by 2.5% on average in 2025 with the level of growth varying based on region.
The ongoing North-South divide could mean there is lower house price growth in Southern England and higher growth in other regions.
This is because of the affordability of housing across the UK and how much house prices have risen in comparison to household incomes.
House prices in London have climbed by 83% since 2010.
In the same period, property prices rose by 70% across the Southern regions, 66% across the Midlands and 56% in Wales.
How to get the best deal on your mortgage
IF you're looking for a traditional type of mortgage, getting the best rates depends entirely on what's available at any given time.
There are several ways to land the best deal.
Usually the larger the deposit you have the lower the rate you can get.
If you’re remortgaging and your loan-to-value ratio (LTV) has changed, you’ll get access to better rates than before.
Your LTV will go down if your outstanding mortgage is lower and/or your home’s value is higher.
A change to your credit score or a better salary could also help you access better rates.
And if you’re nearing the end of a fixed deal soon it’s worth looking for new deals now.
You can lock in current deals sometimes up to six months before your current deal ends.
Leaving a fixed deal early will usually come with an early exit fee, so you want to avoid this extra cost.
But depending on the cost and how much you could save by switching versus sticking, it could be worth paying to leave the deal – but compare the costs first.
To find the best deal use a mortgage comparison tool to see what’s available.
You can also go to a mortgage broker who can compare a much larger range of deals for you.
Some will charge an extra fee but there are plenty who give advice for free and get paid only on commission from the lender.
You’ll also need to factor in fees for the mortgage, though some have no fees at all.
You can add the fee – sometimes more than £1,000 – to the cost of the mortgage, but be aware that means you’ll pay interest on it and so will cost more in the long term.
You can use a mortgage calculator to see how much you could borrow.
Remember you’ll have to pass the lender’s strict eligibility criteria too, which will include affordability checks and looking at your credit file.
You may also need to provide documents such as utility bills, proof of benefits, your last three month’s payslips, passports and bank statements.
Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.
Plus, you can join our Sun Money Chats and Tips Facebook group to share your tips and stories