House prices doubled in a decade

HOUSE prices in the North-West more than doubled over the last decade, new figures show.

Local estate agents say the research by the Halifax — which revealed the average cost of a home in the North-West soared by 112 per cent during the noughties — will have been reflected in Oldham.

The statistics show that northern regions of the UK saw the strongest house price growth.
The biggest increase was in Yorkshire and Humberside, which increased by 130 per cent, while the slowest price growth was in London with 80 per cent.

Across the UK, house prices rose by an average of 105 per cent during the 10 years, the biggest increase in real terms seen during any decade in the past 50 years.

The cost of the average home in the 10 best performing towns rose by at least 160 per cent.

Despite property losing a fifth of its value during the recession, the average house price still rose from £81,596 in 1999 to £167,020 in 2009.

Halifax housing economist Martin Ellis said: “The noughties was a significant decade for house prices. The majority of towns that experienced the strongest price growth began the decade with lower than average property prices, which provided the platform for bigger price gains.”

He predicted that house prices will be flat this year.

He added: “House prices increased for the sixth consecutive month in December, 2009.

“The 1 per cent rise between November and December was slightly below the average increase over the previous five months.

“The prospects for the market this year will depend on how the UK economy evolves and whether there is a significant increase in the supply of properties for sale.”

Andrew Chadwick, a partner at Oldham’s Cousins and Co, said: “I think it will have been the same in Oldham.

“We’ve seen since the 1970s that every 10 years, house prices tend to double.

“It’s been a slow start to the new year because of the bad weather but we have sold a few houses this week.

“The growth of the economy is not as good as we thought but I think things will pick up.

“The availability of mortgages is much easier now but you have to put a hefty deposit down to get a good interest rate.

“I would say prices will stay flat this year.”