The Office for National Statistics (ONS) reported that the average house price in the region rose more than anywhere else in the country over the past year.
Annual house price inflation figures placed the North East at the top with a 4.7 per cent increase.
This was followed closely by Yorkshire and Humber at 4.6, and the North West at 4.4 per cent.
In comparison, the average UK house price increase was 3.4 per cent in the 12 months to October 2024.
The ‘political uncertainty’ over the past year has led many potential buyers and sellers to put their plans on hold.
However, motivated buyers and sellers in the North have continued to drive the market, benefiting from an ‘undersupplied market.’
Looking ahead, new tax measures are expected to impact the North’s property market.
From April 2025, the Stamp Duty Land Tax (SDLT) surcharge will increase from 3 to 5 per cent for second homeowners, alongside a 100 per cent increase in Council Tax for second homeowners.
Given the region’s appeal to second homeowners, these changes are expected to affect the market, potentially slowing down house price inflation.
Despite this, confidence is returning to the market, with more potential sellers preparing for an early entry into the 2025 market.