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North East house prices hit all-time high

Average house prices in North East England reached their highest ever mark across most types of property last year. Data from the region’s Annual Housing Summary shows that while growth rates in house prices eased off between 2005 and 2006, they are still running at about the same level as the English average.

The yearly summary report from the North East Regional Information Partnership (NERIP), which has been prepared jointly with the Northern Housing Consortium (NHC) and the Housing Corporation, is used to help inform policy and monitor movement and demand in the housing market.

Among other results, the figures showed that Newcastle secured the highest number of sales, at 5,642, followed by Sunderland at 5,111. The most expensive local authority district in which to buy a house in the North East in 2006 was Tynedale, which had a median price of £181,000. The least expensive was Sedgefield at £86,000.

Affordability remains an issue for first time buyers – figures shwoed that prices for those buying their first homes in the North East have risen from £40,901 in 2003 to £108,074 in 2006.

Jon Carling, Head of NERIP, said: “It’s clear that growth rates in prices continue to match those for England even though they did slow slightly in 2006, while affordability for first-time buyers and demand issues are still core themes of the report. “The importance of analysing and understanding the regional housing market is continually increasing, and this report will help to inform policy and keep a check on movement in the market.”

Tom Warburton, One NorthEast Head of Infrastructure and Environment, said: “This study highlights that housing affordability is more of an issue for the region than it was five years ago. “The regional housing issues aren’t just about the supply of homes to buy or rent, but about the quality and type of homes being built - it’s important that the region develops housing stock suitable to meet the demands of the 21st Century workforce.”

Full copies of the report can be found in the ‘Reports and Briefings’ section of www.nerip.com.

This was posted in Bdaily's Members' News section by Ruth Mitchell .