
Northern Regions Shine Amidst National Stability
Market Update for Find UK Property Clients | July 2025
Source: Zoopla House Price Index, June 2025
The UK property market continues to display signs of resilience and evolving strength as we move through 2025. According to the latest data from the Zoopla House Price Index, the national housing landscape is characterised by stable price growth, increased supply, and high buyer engagement.
Yet, beneath these national figures lies a particularly compelling story: the continued outperformance of affordable markets in the North East and North West of England.
These are the very areas in which Find UK Property has operated for over a decade, sourcing and managing fully tenanted investment houses for UK and international clients. As larger and more expensive southern markets begin to cool, smaller, lower-priced locations in the North remain robust, supported by strong rental demand, price affordability, and sustained capital growth.
Let’s take a deeper look at the latest market data, what it means for buyers and investors, and why the North is more relevant than ever.
National Snapshot: Modest Growth, Improved Supply, Healthy Sales
As of May 2025, the average UK house price stood at £268,400, reflecting an annual increase of £3,690 or 1.4%. This growth may seem modest, but it represents a significant recovery compared to a 0.3% rise a year ago. Importantly, the market is not overheating; instead, we are seeing a balanced and sustainable recovery, a welcome change from the volatility of recent years.
Key indicators include:
- Sales agreed are up 6% year-on-year, the highest rate in four years.
- Buyer demand is up 7%, suggesting consistent interest from investors and homeowners alike.
- 14% more homes are on the market compared to last year, offering more choice to buyers.
- The average time to sell remains steady at 45 days, reflecting stable market confidence.
Regional Contrast: Affordable Markets Outperform Expensive Ones
The Zoopla report clearly shows that not all regions are created equal when it comes to house price performance. Markets with average house prices below £200,000 saw the highest growth, rising by 2.7% in the past year. Meanwhile, areas with properties above £500,000 recorded a -0.2% decline.
This trend directly benefits investors in the North East and North West, where many properties fall within the £70,000 to £130,000 price range. These areas have:
- Low entry costs
- Solid tenant demand
- Strong net rental yields (6–10%)
- Consistent capital appreciation
“The data confirms what we see on the ground: properties in Blackburn, Darwen, Accrington and County Durham are selling steadily, renting quickly, and increasing in value,” says Joshua Walters, Senior Consultant at Find UK Property.
“These areas are well below the national average price, but they are outperforming higher-value markets in both growth and demand.”
East Lancashire: A Quiet Investment Powerhouse in the North West
East Lancashire has long been known for its low house prices and high rental returns. What makes 2025 particularly interesting is the growing recognition of this region’s value-driven resilience.
Locations such as Burnley, Accrington, Blackburn, and the surrounding towns offers many properties under £100,000. These houses, often fully refurbished and tenanted, are ideal for hands-off investors seeking long-term returns.
Zoopla’s data backs this up:
- Terraced homes (common in East Lancashire) rose by 2.0% annually.
- Semi-detached homes increased by 2.5%, the highest among all property types.
- In areas like Blackburn (BB postcode), growth is exceeding 3.5%.
These growth figures are above the national average and reflect the underlying strength of local demand. And unlike southern markets, where prices are flat or falling, East Lancashire continues to attract buyers and renters alike.
North East: Stable, Affordable and In-Demand
The North East of England offers a similar story. From Hartlepool and Middlesbrough to County Durham and Sunderland, buyers are flocking to markets where the cost of entry is low but demand remains high.
Zoopla notes that the average time to sell in the North East is just 35 days – among the fastest in the UK. That speaks volumes about market liquidity and buyer confidence. Moreover, properties in the North East consistently provide:
- Yields of 7% or higher
- Reliable long-term tenants
- Affordable entry points below £100,000
These are precisely the markets where Find UK Property offers turnkey investment properties, fully managed for UK and overseas clients.
“Many investors come to us after struggling with maintenance or voids in more expensive areas. Once they see how smoothly our northern rentals perform, and how truly hands-free our solutions are compared with going it alone or through an agent – they rarely look elsewhere.” Walters adds.
The data confirms what we see on the ground: properties in Burnley, Blackburn, and County Durham are selling steadily, renting quickly, and increasing in value
Joshua Walters, Senior Consultant at Find UK Property
Mortgage Conditions & Affordability
While interest rates remain elevated compared to the pre-2022 period, mortgage affordability has improved. Zoopla reports that buyer purchasing power has increased by 20% due to rising wages and steadying borrowing costs. Even though Find UK Property clients buy in cash, this trend helps support overall market stability and demand.
Affordability remains the single biggest factor influencing house price growth in 2025. And in this regard, the northern regions excel:
- Half of all UK homes are priced under £250,000
- The strongest price growth is in sub-£200,000 markets
- Many Find UK Property houses are available for under £100,000 with tenants in place
Rental Market Remains Strong
In both the North East and North West, the rental market shows no signs of slowing. These regions offer:
- Stable, long-term tenants, including working families and retirees
- Limited new housing supply, keeping demand high
Add to this the fact that many southern investors are exiting buy-to-let due to tax changes and reduced returns, and the North becomes even more attractive.
Summary: Why 2025 is the Year to Act
The message is clear: Affordable northern regions are leading the UK property market in both price growth and rental stability.
- National house prices are up 1.4%, but parts of the North West and North East markets are up to 3.5% annually.
- Supply and demand are well-balanced, helping to sustain steady growth.
- The average time to sell in these regions is among the fastest in the UK.
- Properties remain affordable and continue to deliver excellent rental yields.
“Whether you’re an experienced investor or just starting out, now is an excellent time to invest in the North,” says Joshua. “The data shows that affordable homes in our regions are not just holding their value, they’re outperforming. We see this every day across our 2,000+ property portfolio.”
As the UK housing market enters a new phase of steady growth and greater regional diversity, investing in the right area is more important than ever. With prices still low and demand rising, 2025 offers a unique window of opportunity for investors seeking long-term value. At Find UK Property, we’re here to help you make the most of it.
Data Source: Zoopla House Price Index (June 2025)
All figures accurate at time of writing. This report is for informational purposes only.