Link between property prices and unemployment rates

By Lauren Burns

New research suggests that property prices in Northern Ireland and the rest of the UK have grown most in areas were the rate of unemployment has fallen.

The research by Lloyds Bank shows that the ten areas in the UK with the largest falls in the rate of unemployment saw property values increase by nearly £136,000 over a period of 10 years. Unemployment has dropped on average by 1.3 per cent in those areas, and house prices have increased by 68 per cent. In the UK as a whole property prices have only increased by 22 per cent and unemployment has actually increased by 0.5 per cent.

The ten areas with the worst performing property prices were in Northern Ireland and outside southern England, with unemployment having increased on average by 2.2 per cent over the past 10 years. Property prices have increased by only 5 per cent in Lisburn in the past decade, 9 per cent in Craigavon, and 14 per cent in Belfast. Falling unemployment over the past year is thought to be a factor behind the rising house prices throughout most of the UK.

If you are buying, selling or remortgaging a property in Northern Ireland, and require a conveyancing solicitor to handle the legal process for you, contact Wilson Nesbitt in Belfast by calling 0800 840 9290.

 

 

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