The West Midlands property market remains one of the most dynamic and resilient regions in the UK, and recent insights from Lloyds Banking Group shed new light on key trends shaping everything from house prices to rental demand. In this analysis, we’ll break down what these findings mean for homeowners, investors, and tenants across Birmingham, Coventry, Wolverhampton, and the wider region, connecting the data to real-world opportunities and considerations for anyone navigating the local property landscape.
At Kunda House, we stay closely aligned with the latest market intelligence to ensure our community has the information they need to make confident decisions. Whether you’re exploring a short stay in Birmingham, considering a long-term rental investment, or tracking price movements for your next home purchase, understanding the trends highlighted in this analysis will help you stay ahead of the curve.
Lloyds reveals its 2025 housing hot spots Lloyds Published on: 30 December 2025 3 min read Plymouth property prices up +12.6% over the past year.
Hull joins the top 10, up +6.5%, and fresh from being named a 2026 ‘Best of the World’ destination by National Geographic.
Value of a London home dipped slightly (-0.1%) but remain the most expensive overall, averaging £574,514.
Amanda Bryden, Head of Mortgages at Lloyds: “Our customers’ dream homes are found in pockets around the UK and we’ve supported thousands of people to take their next home buying step this year.
While house prices play a role, choosing where to live is also about finding a place that feels right – a community you connect with, a commute that works for you, and a lifestyle that fits you.” Where property prices rose Plymouth saw the steepest rise in the value of homes during the last year, up +12.6%, according to the latest analysis from Lloyds, based on its own mortgage data.
Stafford and Wigan also recorded double-digit growth, up +12.0% and +10.5% respectively.
Two of the top 10 areas for house price increases are in Yorkshire and The Humber.
Wakefield saw 8.7% growth and Hull - named one of National Geographic’s “Best of the World” destinations for 2026 – saw a 6.5% rise.
Top 10 greatest growth in home values: UK towns and cities 2024 to 2025 Top 10 greatest growth in home values: UK towns and cities – 2024 to 2025 Local area Region Average home value 2024 Average home value 2025 £ Growth in value % growth in value Local area Plymouth Region South West Average home value 2024 £247,579 Average home value 2025 £278,808 £ Growth in value £31,229 % growth in value 12.6% Local area Stafford Region West Midlands Average home value 2024 £286,732 Average home value 2025 £321,248 £ Growth in value £34,516 % growth in value 12.0% Local area Wigan Region North West Average home value 2024 £225,822 Average home value 2025 £249,562 £ Growth in value £23,740 % growth in value 10.5% Local area Wakefield Region Yorkshire and the Humber Average home value 2024 £263,381 Average home value 2025 £286,268 £ Growth in value £22,887 % growth in value 8.7% Local area Mansfield Region East Midlands Average home value 2024 £223,807 Average home value 2025 £243,251 £ Growth in value £19,444 % growth in value 8.7% Local area Woking Region South East Average home value 2024 South East Average home value 2025 £560,499 £ Growth in value £42,046 % growth in value 8.1% Local area Liverpool Region North West Average home value 2024 £236,864 Average home value 2025 £254,550 £ Growth in value £17,686 % growth in value 7.5% Local area Rugby Region West Midlands Average home value 2024 £349,203 Average home value 2025 £374,653 £ Growth in value £25,450 % growth in value 7.3% Local area Falkirk Region Scotland Average home value 2024 £222,718 Average home value 2025 £238,512 £ Growth in value £15,794 % growth in value 7.1% Local area Hull Region Yorkshire and the Humber Average home value 2024 £187,142 Average home value 2025 £199,348 £ Growth in value £12,206 % growth in value 6.5% Source: 2025 vs 2024, rolling 12-month data to end October each year.
Locations only included where Lloyds Banking Group has made a minimum of 150 mortgage offers in the period, all buyers excluding Buy to Let and Shared Ownership.
Where property prices fell The South East dominates the list of towns where the value of homes fell or grew most slowly in the last year.
Crawley and High Wycombe saw the sharpest declines, with home values falling by -8.9% and -7.4% respectively.
Chester also dropped -6.4%, although overall the North West recorded growth of 3.7%.
Cardiff saw a fall of -5.2%, despite home values rising in Wales by 2.3% overall.
Top 10 biggest falls in home values: UK towns and cities 2024 to 2025 Top 10 biggest falls in home values: UK towns and cities 2024 to 2025 Local area Region Average home value 2024 Average home value 2025 £ Fall in home value % Fall in home value Local area Crawley Region South East Average home value 2024 £408,519 Average home value 2025 £372,202 £ Fall in home value -£36,317 % Fall in home value -8.9% Local area High Wycombe Region South East Average home value 2024 £471,373 Average home value 2025 £436,379 £ Fall in home value -£34,994 % Fall in home value -7.4% Local area Chester Region North West Average home value 2024 £363,529 Average home value 2025 £340,415 £ Fall in home value -£23,114 % Fall in home value -6.4% Local area Solihull Region West Midlands Average home value 2024 £416,268 Average home value 2025 £390,292 £ Fall in home value -£25,976 % Fall in home value -6.2% Local area Worcester Region West Midlands Average home value 2024 £353,701 Average home value 2025 £331,977 £ Fall in home value -£21,724 % Fall in home value -6.1% Local area Cardiff Region Wales Average home value 2024 £327,656 Average home value 2025 £310,577 £ Fall in home value -£17,079 % Fall in home value -5.2% Local area Cheltenham Region South West Average home value 2024 £433,208 Average home value 2025 £411,593 £ Fall in home value -£21,616 % Fall in home value -5.0% Local area Brighton Region South East Average home value 2024 £425,129 Average home value 2025 £404,874 £ Fall in home value -£20,254 % Fall in home value -4.8% Local area Barnsley Region Yorkshire and the Humber Average home value 2024 £226,176 Average home value 2025 £215,552 £ Fall in home value -£10,624 % Fall in home value -4.7% Local area Stockport Region North West Average home value 2024 £346,943 Average home value 2025 330,654 £ Fall in home value -16,289 % Fall in home value -4.7% Source: 2025 vs 2024, rolling 12-month data to end October each year.
Locations only included where Lloyds Banking Group have made a minimum of 150 mortgage offers in the period, all buyers excluding Buy to Let and Shared Ownership.
Amanda Bryden, Head of Mortgages at Lloyds, said: “Our customers’ dream homes are found in pockets around the UK and we’ve supported thousands of people to take their next home buying step this year - whether they’re getting on the ladder for the first time or moving up.
We’ve seen significant change in property values with some areas rising sharply, while others have cooled. “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, as swings in value at a local level can make a big difference to how much you may need for a deposit, Stamp Duty or wider moving costs. “If you’re open to exploring, you might find places where your money goes further.
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. “While house prices play a role, choosing where to live is also about finding a place that feels right - a community you connect with, a commute that works for you, and a lifestyle that fits you. “When you’re thinking about house hunting, getting mortgage advice early will help you to plan and setting a realistic budget, alongside factoring in extra costs like stamp duty and legal fees, will help make the process less daunting and keep your dream of homeownership on track." Regional picture Across the UK, most regions saw the value of homes grow.
Northern Ireland led with growth of +5.8%, while London was the only region to see home values stall, dipping -0.1%.
UK nations and regions growth in home values: 2024 to 2025 UK nations and regions growth in home values: 2024 to 2025 Region Average home value 2024 Average home value 2025 £ Growth in home value % Growth in home value Region Northern Ireland Average home value 2024 £227,231 Average home value 2025 £240,486 £ Growth in home value £13,255 % Growth in home value 5.8% Region Scotland Average home value 2024 £248,098 Average home value 2025 £257,399 £ Growth in home value £9,302 % Growth in home value 3.7% Region North West Average home value 2024 £271,789 Average home value 2025 £281,722 £ Growth in home value £9,933 % Growth in home value 3.7% Region Yorkshire and the Humber Average home value 2024 £261,355 Average home value 2025 £270,856 £ Growth in home value £9,501 % Growth in home value 3.6% Region South West Average home value 2024 £351,039 Average home value 2025 £360,317 £ Growth in home value £9,278 % Growth in home value 2.6% Region East Midlands Average home value 2024 £290,635 Average home value 2025 £297,588 £ Growth in home value £6,953 % Growth in home value 2.4% Region Wales Average home value 2024 £256,892 Average home value 2025 £262,854 £ Growth in home value £5,961 % Growth in home value 2.3% Region East of England Average home value 2024 £409,044 Average home value 2025 £417,897 £ Growth in home value £8,853 % Growth in home value 2.2% Region West Midlands Average home value 2024 £300,784 Average home value 2025 £304,640 £ Growth in home value £3,856 % Growth in home value 1.3% Region North East Average home value 2024 £222,938 Average home value 2025 £224,725 £ Growth in home value £1,787 % Growth in home value 0.8% Region South East Average home value 2024 £449,454 Average home value 2025 £452,961 £ Growth in home value £3,507 % Growth in home value 0.8% Region London Average home value 2024 £574,855 Average home value 2025 £574,514 £ Growth in home value -£342 % Growth in home value -0.1% Region UK Average home value 2024 £352,124 Average home value 2025 £365,110 £ Growth in home value £12,986 % Growth in home value 3.7% Source: 2025 vs 2024, rolling 12-month data to end October each year.
Regional data shows all LBG mortgage offers in the region, no minimum sample applied.
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Key Takeaways from This Analysis
- Stafford (West Midlands) saw 12.0% price growth, Rugby 7.3% growth
- West Midlands areas featured in top growth locations
What This Means for the West Midlands
These findings reinforce the West Midlands’ position as a region of growing importance for UK property. Compared to London and the South East, where affordability remains a significant barrier for many, the West Midlands continues to offer better value while still delivering strong growth potential. Birmingham, in particular, benefits from ongoing regeneration projects, improved transport links, and a vibrant cultural scene that attracts young professionals, students, and families alike.
For investors, the combination of competitive entry prices and healthy rental yields makes the West Midlands an attractive choice. Meanwhile, first-time buyers and those looking to move up the ladder can find more space and better value compared to many other parts of the country. With major infrastructure projects continuing to shape the region, the long-term outlook remains positive for both homeowners and landlords.
How Kunda House Can Help
At Kunda House, we specialise in connecting people with quality accommodation across the West Midlands. Whether you’re looking for a flexible short stay, a comfortable long-term rental, or expert guidance on local property investment, our team is here to support you every step of the way. We combine local market expertise with a commitment to outstanding service, ensuring our residents, guests, and partners have the best possible experience.
Our properties are carefully selected and maintained to the highest standards, offering modern amenities and prime locations across Birmingham and the surrounding area. We also keep a close eye on market trends like those highlighted in this analysis, ensuring our offerings remain competitive and aligned with what our community needs.
Looking Ahead
As we move further into 2026, the West Midlands property market is expected to continue its steady evolution. While some fluctuations are inevitable, the underlying drivers of growth—including regeneration, infrastructure investment, and strong demand for quality rental accommodation—remain firmly in place. By staying informed and working with trusted local partners, you can navigate the market with confidence and make the most of the opportunities available.
If you’d like to learn more about the West Midlands property market, explore our available properties, or discuss your accommodation needs, don’t hesitate to get in touch with the Kunda House team today.
