Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Strategy. Read the original article for full details.

Zoopla: UK House Prices Rose in 25 of Last 30 Years

Average UK house prices have increased in 25 of the last 30 years, according to research from Zoopla. The estate agent’s latest house price index highlights regional differences in property value trends over the past five years.

Zoopla reports that the average property in the UK has risen 15.3% in value over the past five years, equating to an average increase of £36,100 per home. This period has seen a shift from ultra-low mortgage rates at the end of 2021 to more typical rates of 4-5% today.

The North West leads the UK in consistent house price growth, with 30% of homes in the region increasing in value each year over the past five years. Yorkshire and the Humber also showed resilience, with 22% of homes rising in value annually. In contrast, fewer than one in 20 homes in southern England have registered consistent yearly increases, reflecting the greater impact of higher borrowing costs in these areas.

Dagenham stands out as one of London’s more affordable family-home markets, with home values around 25% below the London average (£400,000 versus £525,000). The area’s performance is attributed to affordability and transport improvements, such as the Elizabeth Line and Overground extension to Barking Riverside.

In Scotland, Bonnybridge recorded the UK’s highest proportion of homes with consistent growth, with 60.8% of properties increasing in value each year and average home values at £220,000. Bonnybridge offers access to Falkirk, Stirling, and Glasgow within a 15-40 minute commute.

Witham is the strongest performer in the East of England, but only 13.3% of homes have risen in value each year, despite a 45-minute commute to Liverpool Street and average home values of £320,000.

Persistent year-on-year decline in value is rare, affecting just 0.2% of UK homes (about 56,000 properties). Where this occurs, Zoopla attributes it to hyper-local economic or market factors. In Aberdeen, 5.9% of homes fell in value every year for five years, reflecting changes in the North Sea oil and gas industry.

These findings provide letting agents and inventory clerks with insight into regional property market trends and the impact of changing mortgage rates on home values across the UK.