House prices in Hartlepool have risen by nine per cent since the last market cycle in 2009, with the figures linked to the levels of unemployment in the area, according to research.
Figures compiled by Lloyds Bank have found that the average house price in the town has gone up from £123,573 to £135,067 in the last six years.
Areas with low unemployment and high levels of employment have tended to record above average house price growth.Andy Hulme, Lloyds Bank
According to the bank, 6.6 per cent of people in Hartlepool are registered as unemployed – the fifth-highest figure in the country.
And there is thought to be correlation between that number and the average house prices, with those in the 20 areas with the lowest unemployment rates seeing their prices rise by almost £65,000 since 2009.
However, those in the 20 areas with the highest unemployment have recorded an average house price increase of just £4,000.
Hartlepool’s average price increase of £11,494 since 2009 is a rise of nine per cent, which is eight per cent less than the national average for the period.
Andy Hulme, Lloyds Bank Mortgages Director, said: “There has been a very clear relationship between conditions in the local jobs market and house price performance during the period since the housing market downturn between 2007 and 2009.
“Those areas with low unemployment and high levels of employment have tended to record above average house price growth.
“Areas with high unemployment and relatively low employment have, on the other hand, typically underperformed.
“The past few years have underlined the importance of local economic health in determining house price behaviour.
“Other factors, however, are also key drivers of house price trends including the strength, or otherwise, of housing supply.”