"The North West is fast developing into a hub of economic activity, explaining why workers are buying leasehold apartments in the region"
easyMoney analysis looking at property transactions to have completed over the last 12 months across England and Wales has revealed that buyers are snapping up leaseholds in the North West of England, likely attracted by fast-developing cities and strong affordability found in the region.
The data shows that leasehold sales accounted for 22.8% of transactions nationally. However, leaseholds accounted for 35.1% of all property purchases in the North West, surpassing the national average by some margin and a greater proportion than every region outside London, suggesting that the area has a thriving market for apartment purchases.
In total there were 27,172 transactions via leasehold over the period, driven by strong activity in Bolton, Oldham and Burnley.
Leaseholds made up over half (50.4%) of purchases in London, where affordability constraints mean purchasing apartments using the leasehold system has long been common.
Purchases via leasehold made up a sizable chunk in the South East (22.5%) and South West (20.1%), while the fewest leasehold purchases took place in the East Midlands (8.4%).
Local authority
Outside London Bolton has the highest proportion of leasehold purchases, at 68%.
After that comes Oldham (66%), Burnley (65%), Hyndburn (64%), Bury (60%) and Salford (59%), cementing the North West’s position as a leasehold hotspot - likely fuelled by the success of cities like Manchester and Liverpool.
In the City of London, every transaction (100%) was made using the leasehold system, while it similarly dominated activity in Tower Hamlets (91%), the City of Westminster (88%), Camden (80%) and Hackney (80%).
Jason Ferrando, CEO of easyMoney says:
“The North West is fast developing into a hub of economic activity, explaining why workers are buying leasehold apartments in the region.
“The success of Manchester and Liverpool has been a trend for a few years, but it seems this growth is spreading to other traditionally less fashionable towns and cities in the North West, with Bolton leading the way when it comes to the highest proportion of leasehold purchases outside London.
“For those that can afford it, London continues to lead the way as the leasehold capital of the UK, where over half of the transactions are made using that model.
“However, affordability is key, and many workers are priced out of the capital and search for somewhere new to put down roots, while still being able to benefit from all that living in or near a city offers.
“For them, it seems the North West is the obvious route, where there’s clearly a strong supply of leasehold apartments to purchase at a fraction of the cost of buying in London.”
