Home / Business and Economy / Affordable Towns See Record House Price Surges
Affordable Towns See Record House Price Surges
28 Jan
Summary
- Hawick asking prices surged 18% in 2025, leading growth.
- 43 of 50 top price growth locations were below national average.
- Higher mortgage rates push buyers towards more affordable areas.
Asking prices in more affordable regions across Scotland and the north of England saw the most substantial growth during 2025. Hawick, a town in the Scottish Borders, led this trend with an 18% year-on-year increase in asking prices, reaching an average of £148,633. This surge is largely driven by buyers' constrained budgets, influenced by elevated mortgage rates and previous house price inflation, making southern England's property market inaccessible for many.
Nationally, 43 out of the 50 locations experiencing the greatest asking price growth were priced below the average. These areas averaged £270,711, a notable £100,000 below the UK average. Durham followed Hawick with a 15% increase, and Stannington in Sheffield saw a 12% rise. Anfield in Liverpool, Benton in Newcastle, and Johnstone in Renfrewshire also featured prominently in the top growth areas.
The overall UK housing market remained tepid, with average prices falling slightly by 0.6% by the end of 2025 compared to the previous year. Experts suggest that while mortgage rates are declining from their peak, they remain significantly higher than pre-pandemic levels, prompting buyers to borrow less and focus on cheaper locations, thereby increasing demand and prices in these areas.
