Cheltenham tops the table of 2017 house price winners

  • 13% annual house price growth for spa town is nearly five times UK average
  • Bournemouth and Brighton complete top three with 11% growth each
  • Perth replaces Aberdeen as home of largest annual house price fall  

The Gloucestershire town of Cheltenham saw the highest percentage rise in house prices of any major UK town or city in 2017, according to new research by Halifax.

The average house price in the town that’s located on the edge of the Cotswolds and is famous for its horse racing and cultural festivals, was 13% higher than in the previous year, increasing from £277,118 to £313,150 in 2017; nearly five times the 2.7% increase in the UK as a whole.

The seaside town of Bournemouth on the south coast experienced the second biggest rise, with an increase of 11.7%, while Brighton, on the south east coast completed the top three with an 11.4% rise in the past year.

Fifteen of the 20 top house price performers are in London and southern England – these include Crawley (10.4%), Newham (10.2%), Peterborough (10.1%), Gloucester (9.5%) and Exeter (9.1%).

Huddersfield (9.3%) in Yorkshire and the Humber, Nottingham (8.9%) and Lincoln (8.4%) in the East Midlands along with Stockport in the North West (8.2%) and Swansea in Wales (7.7%) are the top performers outside London and the South, making the top 20 this year.(Table 1)

Russell Galley, Managing Director, Halifax commented:

“A number of towns and cities have recorded significant rises in house prices over the past year, with all of the top 20 performers recording growth of at least double the national average.

“Unlike last year, the top performers are not exclusive to London and the South East, with the top spot now belonging to Cheltenham in the South West, and towns in East Anglia, East Midlands, North West, Wales and Yorkshire and the Humber also making the list.” 

House price growth in cash terms over £40,000 in past year
The average house price in the London boroughs of Richmond upon Thames and Barnet have grown in cash terms by over £40,000 since 2016.  In Richmond upon Thames, the average house price has risen by £45,463 (or 7.6%) to £646,112 and in Barnet – £41,697 (or 7.7%) to £584,049.

Price falls
Thirteen towns recorded declines in house prices in 2017, with the largest fall in Perth from £190,813 in 2016 to £180,687 (-5.3%).

There were also marginal price decreases in a number of other towns: three in Scotland – Paisley (-3.6%), Dunfermline (-2.2%) and Aberdeen (-1.1%); five in Yorkshire and the Humber – Wakefield (-2.9%), Rotherham (-2.2%), Barnsley (-1.6%), Bradford (-0.4%) and Leeds (-0.4%); one in the West Midlands – Stoke on Trent (-4.0%); Bromley in the South East (-0.6%); Hounslow in Greater London (-0.2%); and Sunderland in the North (-0.2%). (Table 2) 

Russell Galley adds:

“The majority of towns in which house prices have dropped in the last year, are situated within Scotland or Yorkshire and the Humber. Generally speaking, property prices in these areas have been constrained by lower employment levels or relatively weaker economic conditions when compared to those areas that have seen house price growth.” 

Table 1: 20 towns with biggest increase in average house prices, 2016-2017

Town/Area Region Average House Price £ (2016)* Average House Price £ (2017)* Change £ Change %
Cheltenham South West 277,118 313,150 36,033 13.0%
Bournemouth South West 245,099 273,687 28,587 11.7%
Brighton South East 336,374 374,662 38,289 11.4%
Crawley South East 293,105 323,660 30,555 10.4%
Newham Greater London 365,438 402,781 37,344 10.2%
Peterborough East Anglia 200,309 220,623 20,314 10.1%
Gloucester South West 211,429 231,581 20,152 9.5%
Huddersfield Yorkshire and the Humber 171,007 186,988 15,981 9.3%
Exeter South West 251,085 273,874 22,789 9.1%
Nottingham East Midlands 177,513 193,397 15,884 8.9%
Gravesend South East 287,544 312,940 25,396 8.8%
Lincoln East Midlands 179,669 194,723 15,053 8.4%
Stockport North West 217,410 235,147 17,736 8.2%
Swindon South West 214,633 231,316 16,683 7.8%
Redbridge Greater London 441,167 475,148 33,981 7.7%
Swansea Wales 153,121 164,895 11,774 7.7%
Barnet Greater London 542,353 584,049 41,697 7.7%
Richmond Upon Thames Greater London 600,648 646,112 45,463 7.6%
Portsmouth South East 207,196 222,704 15,508 7.5%
Grays South East 270,277 290,422 20,145 7.5%
United Kingdom 247,933 254,609 6,677 2.7%

Source: Halifax (*12months to November)

Table 2: 20 towns with biggest fall/smallest rise in average house prices, 2016-2017

Town/Area Region Average House Price £ (2016)* Average House Price £ (2017)* Change £ Change %
Perth Scotland 190,813 180,687 -10,126 -5.3%
Stoke On Trent West Midlands 158,742 152,340 -6,402 -4.0%
Paisley Scotland 128,258 123,665 -4,593 -3.6%
Wakefield Yorkshire and the Humber 173,997 168,920 -5,076 -2.9%
Rotherham Yorkshire and the Humber 143,510 140,364 -3,146 -2.2%
Dunfermline Scotland 161,976 158,442 -3,535 -2.2%
Barnsley Yorkshire and the Humber 137,352 135,114 -2,238 -1.6%
Aberdeen Scotland 203,425 201,270 -2,155 -1.1%
Bromley South East 491,383 488,191 -3,192 -0.6%
Bradford Yorkshire and the Humber 132,018 131,505 -514 -0.4%
Leeds Yorkshire and the Humber 192,480 191,751 -728 -0.4%
Hounslow Greater London 439,405 438,497 -909 -0.2%
Sunderland North 144,341 144,085 -257 -0.2%
Stevenage South East 297,221 297,737 516 0.2%
Bolton North West 155,467 155,796 330 0.2%
Tower Hamlets Greater London 492,182 493,855 1,673 0.3%
Harrow Greater London 546,917 550,410 3,493 0.6%
Reading South East 379,695 382,331 2,636 0.7%
Bridgend Wales 157,924 159,091 1,167 0.7%
Norwich East Anglia 237,380 239,135 1,756 0.7%
United Kingdom 247,933 254,609 6,677 2.7%

Source: Halifax (*12months to November)

Kindly shared by Lloyds Banking Group