Fresh analysis from Lloyds Bank has identified the UK's property market hotspots for 2025, revealing a stark regional divide in house price performance. The data, based on the bank's own mortgage offers, shows several areas enjoying double-digit growth while parts of the South East experience significant declines.
The Top Performing Housing Hotspots
Plymouth has emerged as the nation's leading hotspot, with average property values climbing by an impressive 12.6% in the year to October 2025. This surge added over £31,000 to the mean house price, pushing it to £278,808.
The South West city is not alone in seeing robust growth. Stafford and Wigan followed closely behind, with prices rising by 12.0% and 10.5% respectively. The top ten list of areas with the strongest growth is completed by Wakefield, Mansfield, Woking, Liverpool, Rugby, Falkirk, and Hull, all posting increases above 6.5%.
Areas Where Property Values Are Falling
In contrast, the report highlights that the South East of England dominates the list of locations where home values have dropped or grown most slowly. Crawley saw the steepest fall, with average property prices tumbling by 8.9%, equating to a drop of more than £36,000.
High Wycombe recorded the second-largest decline at 7.4%, while Chester, Solihull, and Worcester all saw values fall by more than 6%. Notably, Cardiff experienced a 5.2% drop in average prices, despite Wales as a whole seeing a 2.3% increase.
Regional Trends and Expert Commentary
Looking at the broader UK picture, most regions saw property values rise throughout 2025. Northern Ireland led with a robust 5.8% increase. London, however, bucked the national trend with a marginal 0.1% decline in average values.
Amanda Bryden, Head of Mortgages at Lloyds Bank, emphasised the importance of local research for buyers. "If you've got your heart set on a particular location, it's worth taking time out to do some research and see what's happening with prices there," she advised. "Swings in value at a local level can make a big difference."
She also pointed potential buyers towards generally more affordable regions. "Northern regions and Scotland are still generally more affordable than the south of England, with a huge amount to offer in terms of culture and history, alongside some of the most beautiful parts of the UK countryside."
The bank's study examined the 12 months to October 2025 compared to the previous year. It only included areas where Lloyds Banking Group completed at least 150 mortgage offers, excluding buy-to-let and shared ownership properties from its findings.
