Northern cities dominate top property sales hotspots - research

Bradford has maintained its position as the leading hotspot in the country for the second consecutive quarter, according to OnTheMarket data.

The portal’s Hotspots Index for the second quarter of 2024 looks at the number of available sales properties within a certain area and compares that against the volume of onsite activity to create a representative score of the intensity of interest in that market.

The position of Bradford suggests the city is benefiting from the ripple effect as buyers priced out of Leeds look for neighbouring and more affordable alternatives, OnTheMarket said.
Meanwhile, Blackpool edged into second place, followed by Rochdale.

Fourth-placed Plymouth, the only southern location in the top five, has also seen a considerable jump from 22nd place in the first quarter.

Other notable big movers in the index include Wakefield, which has jumped from 30th to 9th place and Birmingham which has jumped from 23rd to 43rd.
Moving in the other direction, demand in Wigan has cooled significantly, dropping from second to 15th place in the rankings, while Liverpool has fallen from 11th place in the first quarter to 30th. Worthing, one of the few southern locations to be considered a hotspot, fell from 20th to 53rd place. The ‘coolest’ hotspot on the list is Brighton.

In the London boroughs there has been less fluctuation than nationally and very little movement, OnTheMarket said.

Newham has entered the top five for the first time, moving from 10th in the first quarter to 5th in the second quarter. Hounslow dropped out of the top five, moving from 4th in Q2 to 9th in Q1 and several, including Lambeth, Southwark and Merton, all dropped four places.

Jason Tebb, president of OnTheMarket, said: “Property buying decisions continue to be heavily influenced by affordability, according to our latest Hotspots Index, which reveals that some of the most active or ‘hottest’ areas also offer buyers the best value.

“Overall, the north/south divide is holding firm, with some of the most vibrant and cheapest locations in the north seeing the most heat in terms of housing market activity and only one southern location making it into the top 10.

“None of this comes as any surprise after 14 increases in base rate since December 2021, followed by seven meetings where the Bank has voted to maintain interest rates at 5.25%. As well as higher borrowing costs, the post-pandemic shift towards working from home at least part of the week means buyers can consider areas further away from city centres, which tend to be less pricey.”