Figures reveal lasting effect of economic crash on North East housing market
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Figures reveal lasting effect of economic crash on North East housing market
12:00, 8 March 2015 By Mike Kelly
The full extent of the economic crash and its lingering effect on the North East housing market is revealed in new figures.
Detailing the sale prices of all housing from flats to detached homes between 1995 and 2013, they show how they rocketed by an average of 191% to 2007 and have since fallen by 2%. The Office for National Statistics figures are based on the region’s 30 electoral constituencies. Of them, 21 - more than two thirds - have seen a drop in sale prices since 2007, while eight have gone up and one - Blyth Valley in Northumberland - has flatlined at 0%. If the rate of inflation is factored over the six years covered, none have actually seen an increase.
Our probe revealed that perhaps the hardest hit constituency was
Newcastle East. From 1995 to 2007 the average price of house sales rose from £49,000 to £149,500, a huge 206% increase. But from 2007 the average sale figures dropped by 9.3% to £136,000.
In neighbouring
Newcastle Central house price sales soared by an astonishing 243% from £39,000 to £134,000 to 2007 but dropped back 7% to £124,500 in 2013.
In the
Middlesbrough constituency sale prices rose 182% from £32,375 to £91,500 to 2007 and have since dropped 5% to £87,000 in 2013.
Sunderland Central saw a 207% increase from £38,000 to £117,000 followed by 4.2% fall to £112,000.
And in Northumberland,
Berwick saw a massive 243% rise from £48,500 to £166,584 to 2007 followed by a 7% fall to £155,000 to 2013.
However the best performing constituency is
Hartlepool. The average sale of all house types rose 187% from £36,500 in 1995 to £104,950 in 2007. Since then they have risen again by 10% in 2013 to £115,495.
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