Urban Property Values Outpace Coastal & Countryside Markets
City Living Resurgence as Urban House Prices Outpace Coastal and Countryside Markets
The latest research from eXp UK has found that city living is firmly back in favour, with the nation’s major cities seeing a stronger average rate of house price growth compared to coastal and countryside locations.
The research by eXp UK analysed the latest UK House Price Index data for May 2025, comparing average annual house price growth across 20 major UK cities, 20 popular coastal towns, and 20 countryside locations to determine which has delivered the best returns for homeowners over the past year.
The research shows that the average UK house price has increased by 3.9% over the last year, but it’s the nation’s major cities that have seen the strongest rate of growth of the three lifestyle offerings analysed by eXp UK.
The average rate of annual growth seen across the 20 major cities analysed sits at 6.3%. This marks a clear resurgence in demand for urban living, driven by strong performances in cities such as Newcastle (13.4%), Liverpool (11.6%), and Sunderland (9.6%), with just Leicester seeing a drop in values of -0.5%.
Countryside living is still in seemingly high demand though, with the average annual rate of growth across the 20 countryside hotspots analysed by eXp UK sitting at 5.3% annually.
Locations such as Chagford (15.0%), Market Harborough (10.2%), and Cranbrook (9.8%) are leading the rural charge, appealing to buyers seeking space and character, without straying too far from commuter routes.
By contrast, seaside towns showed a much flatter rate of growth, with the average rate of growth increasing by just 1.0% over the past year across the 20 coastal locations analysed by eXp UK.
While some locations like Crosby (8.6%), Porthmadog (7.0%), and Tynemouth (6.9%) outperformed, a number of high-profile coastal areas including Salcombe (–5.3%), Aberystwyth (–6.9%), and Hastings (–1.9%) saw prices fall – not doubt due to the inflated nature of the market in these sought after areas.
Adam Day, Head of eXp UK and Europe, commented:
“Following several years where rural and coastal markets stole the spotlight during the race for space and the Covid exodus of major cities, our latest research shows that cities are once again driving house price growth.
The strength of the urban market reflects changing lifestyle priorities, the return of office working, and ongoing investment in city infrastructure, all of which are influencing the next generation of homebuyer.
That said, countryside living remains a solid choice, especially in well-connected market towns, while the coastal market appears to be flatlining to an extent, following years of inflated price growth due to high demand and restricted stock levels.”
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