House prices increased by 1.2% in Manchester in April, new figures show.
The rise contributes to the longer-term trend, which has seen property prices in the area grow by 9% over the last year.
An imbalance between supply and demand for properties has remained the primary reason behind climbing house prices across the UK throughout the pandemic.
The need for larger deposits and constraints on accessing mortgages have pushed homeownership further out of reach for many first-time buyers – despite Government figures showing 50% of renters would be able to afford the monthly payments.
In a recent major speech in Blackpool, Prime Minister Boris Johnson announced a “comprehensive review” of the mortgage market would take place in a bid to help more people onto the property ladder.
The average Manchester house price in April was £221,485, Land Registry figures show – a 1.2% increase on March.
Over the month, the picture was different to that across the North West, where prices increased 2%, but Manchester was above the 1.1% rise for the UK as a whole.
Over the last year, the average sale price of property in Manchester rose by £18,000 – putting the area 32nd among the North West’s 39 local authorities with price data for annual growth.
The highest annual growth in the region was in Burnley, where property prices increased on average by 18.6%, to £119,000. At the other end of the scale, properties in Pendle gained just 2.7% in value, giving an average price of £125,000.
First steps on the property ladder
First-time buyers in Manchester spent an average of £204,000 on their property – £17,000 more than a year ago, and £56,000 more than in April 2017.
By comparison, former owner-occupiers paid £242,000 on average in April – 18.7% more than first-time buyers.
Owners of flats saw the biggest rise in property prices in Manchester in April – they increased 1.5%, to £185,991 on average. Over the last year, prices rose by 7.2%.
Among other types of property:
Detached: up 1% monthly; up 11.8% annually; £411,637 averageSemi-detached: up 1% monthly; up 10.9% annually; £279,967 averageTerraced: up 1.2% monthly; up 8.9% annually; £209,509 average
How do property prices in Manchester compare?
Buyers paid 6% more than the average price in the North West (£209,000) in April for a property in Manchester. Across the North West, property prices are higher than those across the UK, where the average cost £281,000.
The most expensive properties in the North West were in Trafford – £347,000 on average, and 1.6 times as much as more than in Manchester. Trafford properties cost 2.9 times as much as homes in Burnley (£119,000 average), at the other end of the scale.
The highest property prices across the UK were in Kensington and Chelsea.
Average property price in April
Manchester: £221,485The North West:£208,867UK: £281,161
Annual growth to April
Manchester: +9%The North West: +13.3%UK: +12.4%
Highest and lowest annual growth in the North West
Burnley: +18.6%Pendle: +2.7%