The latest UK Cities House Price Index released by Hometrack shows that Birmingham has registered the highest inflation in price growth at 8 per cent in July 2017. It is followed by Manchester (7.1 per cent) and Nottingham (6.9 per cent).
The overall UK City house price inflation is running at 5.3 per cent compared to 7.4 per cent in July 2016. The rate of growth has picked pace in recent months thanks to above average growth in large regional cities and an increase in the annual rate of growth in the London City index.
Birmingham (price of home £155,400) is the fastest growing city (8.0 per cent, up from 6.8 per cent in July 2016). The rate of growth has been consistent over the last year and trending upwards on sustained demand, a lack of homes for sale and attractive affordability, according to Hometrack data.
The other cities in the top 10 list are Southampton (6.5 per cent), Leeds (6.2 per cent), Leicester (5.8 per cent), Portsmouth (5.7 per cent), Bournemouth (5.4 per cent), Edinburgh (5.4 per cent) and Cardiff (5.3 per cent).
The annual rate of growth in London has increased to 2.8 per cent marking an end to the steep slowdown over the last 18 months. Prices were unchanged over second half of 2016 in the wake of the Brexit vote, while over the last 5 months the index has recorded growth.
The steep slowdown in London house price inflation has bottomed out with an increase in the annual rate of growth to 2.8%.