Homeowners in the West Midlands expect their properties to increase in value by an average of 10.6% over the next six months according to a Zoopla survey.
Optimism among the country’s homeowners is on a high at the moment, with the vast majority of those surveyed by Zoopla expecting the value of their properties to rise over the next six months as the country’s property sector retains its resilience.
On average, UK property owners expect homes in their area to achieve value rises of 6.9% in the next six months, with 84% of the 1,950 people surveyed expecting prices to go up where they live. Only around 8% thought house prices would fall, while 7% expect them to stay the same, and the results show an even higher level of positivity than was seen in a similar survey in November.
Growing consumer confidence
While property owners in the West Midlands are expecting the biggest value jump of 10.6%, with 88% expecting an increase of some sort, the East Midlands topped the list with 93% of respondents predicting a house price rise in their area – of an average of 9.2%.
“It’s encouraging to see a bounce-back in consumer confidence in the market – it’s the largest increase we’ve seen since 2016,” said Zoopla spokesman Lawrence Hall.
“This shows that homeowners are starting to regain their confidence in the property market.”
The least optimistic area was the north-east, where house prices have struggled recently, with only 63% of homeowners who believe prices will rise, and the average increase expected is 2.6%. London was another market lacking in confidence, with 76% expecting a house price increase, at an average of 6% over the next six months. The capital has seen house prices stagnate lately as it is overtaken by the growing strength of the north and midlands.
On the plus side for the north-east, November 2017’s poll showed that only 41% of people expected house prices to go up, so the trend is going in the right direction. It is an area which can generate high yields for landlords as starting prices for properties are generally lower than the national average and rental demand is relatively high.
