Late summer slowdown in Sunderland housed prices

Land Registry data shows house values in the area rose by 0.1% in August – but the longer term trend has still seen property prices in the area grow by 9.4% over the last year.

The average house price in Sunderland in August was £142,617 – and the market in August was different to that across the North East and nationally, where prices increased by 0.9%.

Over the last year, the average sale price of property in the city has risen by £12,000 as a shortage of properties coming on the market saw prices climb throughout the pandemic.

Experts say expectations have changed significantly in recent weeks amid mortgage rate rises, with the likelihood of it damping down house price rises.

First-time buyers in Sunderland paid an average of £124,000 on their property – £10,000 more than a year ago, and £23,000 more than in August 2017.

Owners of detached houses saw the biggest rise in property prices in Sunderland in August. Values increased by 0.2%, to an average of £267,799 – and an annual increase of 12%.

Prices for a semi-detached home stayed the same over the month – but up annually by 9.5% to an average of £147,739.

Terraced home prices increased by 0.1% over the monthly – and up 8.6% annually – to an average of £116,148.

The price of flats rose by 0.1% monthly – up 7.2% annually – to an average of £86,941.

The average price for a home in the North East in August was £164,395 and, nationally, it was £295,903.

Buyers in Sunderland paid 13.2% less than the average price in the North East in August.

The average two-year fixed-rate mortgage on the market has a rate of 6.52% and the average five-year fix is at 6.36%.

Chris Druce, senior research analyst at estate agents Knight Frank, said: “Current activity in the housing market is being shaped by mortgage status.

“With affordability set to be a growing barrier, we forecast house price growth will slow from here, with price falls in 2023.”