North Tyneside house prices increased slightly in May

House prices increased slightly, by 0.5%, in North Tyneside in May, new figures show.

The rise contributes to the longer-term trend, which has seen property prices in the area grow by 9.2% over the last year.

The average North Tyneside house price in May was £195,730, Land Registry figures show – a 0.5% increase on April.

Over the month, the picture was different to that across the North East, where prices decreased 0.1%, but North Tyneside was lower than the 1.2% rise for the UK as a whole.

Over the last year, the average sale price of property in North Tyneside rose by £17,000 – putting the area seventh among the North East’s 12 local authorities with price data for annual growth.

The highest annual growth in the region was in Redcar and Cleveland, where property prices increased on average by 14.5%, to £154,000. At the other end of the scale, properties in Hartlepool gained 3.3% in value, giving an average price of £129,000.

An imbalance between supply and demand for properties has remained the primary reason behind climbing house prices across the UK throughout the pandemic.

But activity is starting to slow, with soaring inflation putting household budgets under pressure.

Sarah Coles, senior personal finance analyst at financial advice company Hargreaves Lansdown, said:“The average house price hit another record high in May, and rose faster than any time since the peak in June last year.

"However, we’re starting to see small changes in the market, which are likely to mean weaker growth in the coming months, especially if interest rates are hiked in August."

First steps on the property ladder

First-time buyers in North Tyneside spent an average of £166,000 on their property – £14,000 more than a year ago, and £36,000 more than in May 2017.

By comparison, former owner-occupiers paid £223,000 on average in May – 33.7% more than first-time buyers.

Property types

Owners of terraced houses saw the biggest rise in property prices in North Tyneside in May – they increased 0.9%, to £185,824 on average. Over the last year, prices rose by 9.2%.

Among other types of property:

Detached: up 0.1% monthly; up 12.5% annually; £367,991 averageSemi-detached: up 0.5% monthly; up 9.9% annually; £215,101 averageFlats: up 0.3% monthly; up 5.2% annually; £111,593 average

How do property prices in North Tyneside compare?

Buyers paid more for properties in North Tyneside than anywhere else in the North East in May. The average price paid would buy 1.6 homes in County Durham (£125,000), at the other end of the scale.

The highest property prices across the UK were in Kensington and Chelsea.

Across the North East, property prices are low compared to those across the UK, where the average cost £283,000.

Factfile

Average property price in May

North Tyneside: £195,730The North East:£153,592UK: £283,496

Annual growth to May

North Tyneside: +9.2%The North East: +9.7%UK: +12.8%

Highest and lowest annual growth in the North East

Redcar and Cleveland: +14.5%Hartlepool: +3.3%