House prices in the North East ended last year two per cent lower than they began it, according to figures compiled by KIS Group.
Tyneside sales and lettings firm KIS Group found that an average property in the North East was valued at at £167,571 at the end of December 2017, down from £168,811 at the same point in 2016. This marked a drop of £1240 in cash terms.
Darlington and Durham City stood out as the region’s property hotspots in 2017, each seeing prices up 2 per cent. House prices in Sunderland, Whitley Bay, Washington and Whitley Bay also climbed 1 per cent over the course of 2017.
In contrast, homes in South Shields have performed the weakest over the past year. They saw a 5 per cent year on year decline, equivalent to £6464 in cash terms.
Properties in Peterlee, Blyth, Cramlington, Easington, Gateshead and Houghton-le-Spring all declined by approximately 3 per cent of their original values last year.
Over the last four weeks, prices have risen by 0.09 per cent. Value changes ranged from -0.4 per cent in Blyth to 0.05 per cent in Whitburn. Sunderland was a major outlier over this period, seeing prices rise by 5.3 per cent. This is 58 times the average growth.
Managing Director of KIS Group, Ajay Jagota, responded to the figures: ‘House values in the North East have been generally resilient this year in the face of ongoing economic uncertainty which is likely to encourage people to think twice about moving house. Indeed the property market is clearly very strong in some areas, even those like Washington and Darlington where you might not necessarily expect that to be the case. We can certainly enter 2018 in positive spirits.’
He continued: ‘December is never a great month for house prices with people’s attention on Christmas, but Boxing Day is generally one of the most popular days of the year to look for a new house and many people begin the search for a new property in the New Year. To be entering the New Year with prices on the up, even modestly, can only be a good sign. That doesn’t mean that the region wouldn’t benefit from measures to stimulate the property market, and reforming Britain’s outdated tenancy deposit system could be an incredibly cost effective way for the government to do it.’