Sheffield house prices lead the way

Blundells Estate Agents sign on Myrtle Cresent. Picture: Andrew Roe
Blundells Estate Agents sign on Myrtle Cresent. Picture: Andrew Roe

Sheffield’s housing market is the top-performing outside the South of England, new figures have shown - with rising demand for homes pushing up prices across the city.

Research has found prices rose by 13.7 per cent throughout 2014, even higher than the average increase of 13 per cent recorded last year across London as a whole.

The study, by Halifax, said houses in Sheffield now sell for £148,372 on average.

The firm said prices are likely to have been boosted by the fact that, over the past five years, the city has seen a ‘significant increase’ in employment, particularly in managerial, professional and technical skilled occupations.

Another study this week by Nationwide found the average cost of a Sheffield home has risen by more than £14,000.

Joanne Bloor, from Bloor and Co, said the increase in prices was a consequence of ‘supply and demand’.

“If the demand is there, then prices go up no matter how, and no-one can control that,” she said.

But Joanne said the resurgent market was ‘pocketed’ in sought-after postcodes, such as S10, S11 and S17. “We need to try and find a way of getting some stability. At the moment there are too many peaks and troughs,” she added.

Steve Hinshelwood, managing director of Blundells, agreed, saying: “In 2014, we definitely saw an increase in volume and transactions, but the overall price growth isn’t consistent across the city.”

Nicola Spencer, director of Spencers Estate Agents, said: “The south and south-west is normally more popular for various reasons - investment is one, because there is a high volume of student property and professional lets.

“Properties coming onto the market are getting higher prices than we’d anticipate mainly because of the lack of availability. There are a lot of people needing to move house - downsizing and upsizing.”

Nicola said houses needing little refurbishment are currently also more likely to exceed expectations.

“With properties that need renovating, buyers find themselves struggling unless they have the capital behind them, whereas with a property that’s nicely presented, that someone could move into, you could have multiple offers.”

The Nationwide research found Sheffield was bucking a regional trend, as Yorkshire and Humberside was the weakest performing area in England, with prices up 1.5 per cent in 2014.

* Related article: City leading the way with big surge in house prices