OnTheMarket’s First Hotspots Report Unveils UK’s Top Property Areas

We calculate rankings by gauging the number of properties on the market against the amount of online interest for a particular area, creating a score that reflects the market’s popularity.

By comparing these scores over various time frames, we can track market trends and see how interest in different areas rises or falls over time.

The first quarter of 2024 saw Bradford take the lead as the UK’s most in-demand urban area. In London, the borough of Barking and Dagenham came out on top.

Jason Tebb, OnTheMarket President, notes that several factors, including closeness to loved ones, workplaces, and schools, play into where people decide to buy a home. With property prices increasing more than wages, affordability is becoming more crucial, especially amid high-interest rates and the cost of living crisis. This has profound impacts on both where people choose to live and if they can buy a home at all.

According to our Hotspots index, affordability significantly impacts where people decide to buy, with the most affordable places often seeing the most activity. Nearly all of the ten top urban hotspots have average property prices under the national average. This trend could indicate a ripple effect where individuals unable to afford big city prices opt for less costly nearby urban areas, like Bradford near Leeds, Wigan between Manchester and Liverpool, and Burnley north of Manchester. With the rise of flexible working, many people are ready to commute longer or not go into an office as frequently, increasing the appeal of these more affordable areas.

The disparity between the north and south in the UK is evident, with all ten top hotspots being in the north or Midlands. In contrast, London sits much lower on the list, with its average property prices increasing less dramatically than other regions. The data implies that many buyers are being priced out of the capital and looking for properties further away.

London’s story is similar with busier markets in less costly boroughs. Barking & Dagenham is the hottest area, offering more affordable houses than more upscale regions, alongside straightforward commuting to central London and community-focused urban revitalization. In contrast, expensive boroughs like Westminster and Kensington rank near the bottom, as the average property price in the top ten boroughs is below the London average, making homeownership more attainable there.

Despite the view that Britons may grow to prefer long-term renting, our data indicates the contrary: the desire to own a home remains strong. People are willing to relocate to more affordable areas, which can, in turn, boost property values over time and eventually lead to gentrification.

Homebuyers are looking for good value in areas where their investment might one day match or surpass the average property price. This approach offers opportunities for those seeking to buy while hoping to avoid the intense competition that comes with higher-priced areas.