The housing industry of the UK has grown significantly in the last decade with tripling of prices of homes in four out of every ten counties.
In the UK, housing prices of four counties out of every ten increased triple-fold in the last decade, showing the housing industry of the country will see sustainable growth, as per the findings of annual Halifax country house price survey, as reported by The Guardian.
The survey highlights that all the 104 counties and unitary authorities have seen at least two-fold rise in their average house prices. Among all the counties, Surrey is the most expensive one where average house price is around £364,000. However, Armagh, a county in Northern Ireland, has recorded the fastest growth in house prices in last ten years.
The pressure on the house prices is increased due to lack of well-paid jobs and second homeowners. Cornwall, included in the top ten counties of the Britain, has many residents who do not have well paid jobs, as a result, they are not able to go up on the property ladder. In fact, Cornwall is the only county where the difference between average house price and average salary is quite big (around 12 times of average earnings).
Heavy flow of immigrants, particularly from foreign countries, is also a big reason for price increase of houses along with strengthening local economy. Both the factors are perceived to encourage real estate owners to raise the prices of properties.
In addition to above mentioned reasons, other reasons include rising demand for properties from second home buyers and investors who deal in buy-to-let business in the Republic of Ireland. Accelerating demand for properties is also responsible for price rise in properties of the UK and Northern Ireland.
Including above-mentioned reasons, another factor that is contributing in the rise is price rise of houses in London and Southeast. In London, prices are backed by city employees who are enjoying bonuses in six figures.
According to a Senior Research Analyst at RNCOS, “Britain should keep a check on the prices of properties to facilitate low income people to buy homes of their choice in the city they want to live in. Besides, the country should also control sub-prime mortgage which could hamper its housing market.”
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