Hey property enthusiasts, investors, buyers, sellers, and landlords—welcome to this week’s Market Updates from Mike Bells! As the North East’s emerging property sourcing experts, we’re here to keep you informed with data-backed insights on trends like price growth, rent yields, and market shifts. In September 2025, the North East is outperforming with house prices up 5.2% year-on-year (Michael Poole report), outpacing London’s 0.8% (Zoopla August 2025 index), while rents climbed 8.9% annually—the highest in England (ONS August 2025 bulletin). UK-wide, prices rose 1.3% monthly to £291,000 average (GOV.UK June 2025 HPI), with sales forecasted at 1.15 million for 2025 (Zoopla outlook). The North East’s affordability (£188k avg, 35% below UK £285k per Plumplot July 2025) fuels this, but regional variations mean northern areas like the North East and North West see 2.8-3.5% growth (Zoopla November 2024 data, continuing into 2025). Let’s dive into what this means for you, with real-world scenarios, pro tips for buyers/sellers/landlords, and forecasts to make smarter decisions.
Key Trends: What’s Driving the North East Market?
- Price Growth: North East prices up 5.2% YoY (Michael Poole 2025), with monthly increases of 3.4% in June (GOV.UK HPI). Scenario: A buyer in Newcastle who purchased a £200k flat in early 2025 saw it rise £10k by September—timing buys now maximizes equity.
- Rent Yields: Rents up 8.9% annually, highest in England (ONS August 2025), with North East averages at £736 pcm (lowest UK, but yields 7-10% per QuickMortgages mid-2025). Scenario: A Durham landlord raised rents 5% on a £150k terrace, boosting yearly profit £1,800.
- Market Activity: 34% properties reduced (Rightmove House Price Index August 2025), sales at 94,000 monthly (GOV.UK), voids low at 22 days (Zoopla). Scenario: A Gosforth seller cut 5% and sold in 15 days vs. 60 avg, netting £5k more.
Forecasts: What’s Ahead for 2025 and Beyond? Savills predicts UK prices up 4% in 2025, with North East outperforming at 2.5-4% due to affordability (Zoopla/Rightmove). Rents to rise 3% UK-wide (Holland Asset Management), pushing North East yields to 8-10% (Aspen Woolf 2025 report). Scenario: If rates hold at 4.8%, a £200k buy could gain £8k equity + £12k rent profit over 5 years. However, potential tax changes (e.g., stamp duty tweaks per Guardian speculation) or rate hikes (Bank of England signals 0.5% increase risk) could impact—stay vigilant.
Pro Tips for Buyers, Sellers, Landlords
- Buyers: Hunt reduced listings (34% available)—scenario: First-timer saved £5k on a £150k flat with 5% deposit. Use Mortgage Guarantee Scheme.
- Sellers: Price aggressively for quick sales—scenario: Reduced 3%, sold in 2 weeks, avoided £1k holding costs.
- Landlords: Capitalize on 8.9% rent growth—scenario: Adjusted rents up 5%, boosted yields 1%. Monitor Bill changes for EPC C by 2030.
Stay ahead with Mike Bells—let’s source your next move!
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